The 3% increment was made by the Central Government into the Dearness Allowance (DA) and Dearness Relief (DR). By this, the DA will get increases from 50% to 53% of basic pay. Over 1 crore employees from the govt sector will get benefits across India. The government made this news on the 16th of October 2024 in the Cabinet meeting and approved this increment.
This decision is mainly made by the govt. To give financial relief to the employees and Pensioners from the government sector. The govt provides mainly Rs. 9448 crores to implement this.
The compensation for Government employees and pensioners will be raised from 50% to 53%. The employees from the govt sector will benefit from this. To overcome the cost of living, this increment takes place.
DA Hike 2024: Overview
The details about the DA hike are correct. Mr. Narendra Modi, the prime minister, has made an official declaration about the hike in DA. In their cabinet meeting held on the 16th of October 2024, the govt made this announcement officially Check the full information of the 2024 DA Hike given below para.
| Budget Allocated | ₹9448 crore |
| Date of Effective | July 1, 2024 |
| DA Percentage | 53% of basic pay |
| Beneficiaries | Over 1 crore pensioners and employees |
| Percentage of Hike | 3% |
How is DA Calculated?
As per the All India Consumer Price Index (AICPI), the DA will calculated. By the DA calculation, the living cost will be shown. The DA calculation is as follows:
- DA% = ((Average of AICPI (Base Year 2001=100) for the past 12 months – 115.76) / 115.76) × 100
Central public sector employees:
- DA% = ((Average of AICPI (Base Year 2001=100) for the past 3 months – 126.33) / 126.33) × 100
Impact on Employees and Pensioners
1. Employees: The employees from the government sector will get the DA by which the salaries will also increase. When the base pay was Rs. 18,000, the employees’ DA at 50% was Rs. 9000. Since the 3% increase, the DA has increased to 53%, or Rs. 9540.
2. Pensioners: Financial relief in the face of inflation is given by the Dearness Relief (DR) increase. By the same proportion, pensioners will receive higher monthly benefits.
Benefits of the DA Hike
- As the increment takes place, the financial stability will also be increased. By this, the govt employees and pensioners are able to handle the inflation strikes.
- The people over the 1 crore will get benefits under this.
- The purchasing power was not influenced by the DA adjustments.
Summary
- The raising into the DA taken into effect on July 1, 2024, is 3%.
- Over 1 crore workers and pensioners will gain the increment of 3% from 50% to 53% of base pay.
- A budget of Rs. 9448 crores is made for this increment.
- The Dearness Relief will be increased from the 3% for the Pensioners.
FAQs
Q: How many workers will be covered by this?
Ans: The benefit will give over 1 crore workers and pensioners.