7th Pay Commission Latest News Today: Here comes a wonderful piece of news for the Central government employee who are eagerly waiting for a hike in their dearness allowance so that their salary will increase from July 1. Sources at the Finance Ministry told NDTV that the Centre is likely to give the dearness allowance (DA) to central government employees from July 1, 2021 prospectively, rather than retrospectively with arrears.
However, the finance ministry made it clear that the cost indexation is likely to take place on June 30 and the percentage is expected to be around 28 per cent. The ministry also stated that much will depend on indexation as DA increase cannot be done with retrospective effect.
At present, the Central government employees are getting a DA of 17 per cent. This is effective from July 2019 with further revision being due from January 2020. However further hikes in DA were withheld due to the coronavirus pandemic. Due to coronavirus pandemic, the three installments of dearness allowance, due on January 1, 2020, July 1, 2020 and January 1, 2021, were frozen for the Central government employees.
At this time of coronavirus pandemic, lakhs of central government employees and pensioners are eagerly waiting for the hike in DA and expect that the DA will be paid to them on retrospective basis.
However, one important meeting in this regard will be held in June-end between the National Council of JCM and the Ministry of Finance and Ministry of Finance and Department of Personnel and Training. If the meeting is held, the Central government employees will get their DA hike for sure.
This crucial meeting was scheduled to be held in May but it got postponed due to the COVID-19 pandemic. However, media reports now claim that the meeting will definitely held this month.
On April 23, 2020, the Finance Ministry had informed that the Central government employees will not get the additional installments of DA and Dearness Relief (DR) due from July 1, 2020 and January 1, 2021, in view of the pandemic.
In the meantime, the Central government employees are expecting around 11% DA hike this time, taking the current rate of 17% to 28% and benefiting nearly 1.1 crore central government employees.
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