7th Pay Commission: Good news on DA hike could be delayed

New Delhi, Aug 11: With no good news in sight regarding the 7th Pay Commission, Central Government employees are now awaiting the much anticipated DA hike.

While CG employees are eagerly awaiting good news on the hike in Dearness Allowance, the big question is when will it be implemented. Sources tell OneIndia that the hike of 5 per cent DA is unlikely to be implemented this month.

However the source also added that there is a good chance that it may be implemented in September 2019.

According to analysts and officials there is a good chance that the DA would be hiked by another 5 per cent. The Government is planning on hiking the DA once the AICPI figures are made available.

What CG employees must bear in mind is that the Dearness Allowance may be increased by 5 per cent. This could be the good news that may be on the way as a result of which the government did not take into account the demand for a hike in the basic minimum pay.

There is a possibility that the DA may be increased by 5 per cent. There is a tangible reason behind it and that is because, according to the Consumer Price Index (CPI) data, inflation has increased in April, 2019. However, there is a little uncertainty as CPI statistics for June, 2019 are yet to come and this will be revealed by the end of July.

This would mean that the DA would stand at 17 per cent. This would incidentally be the highest DA increment since 2016. The government had hiked the DA by 3 per cent in January 2019. At that time the AICPI stood at 301 and the DA at 10.36 per cent. If the index increases by 2 points then the DA calculation will be based on 17 per cent.

CG employees would however hope that their demand for a pay hike be met too. The 7th Pay Commission had recommended a pay hike of Rs 18,000.