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7th Pay Commission Latest News : Govt Employees Likely to Get DA Hike in July, Minimum Wage May Increase to Rs 26,000

DA Hike News : If the demand of government employees on fitment factor is accepted, then the minimum wage or basic pay of Central government employees will increase from Rs 18,000 to Rs 26,000.

Updated: June 24, 2022 11:47 AM IST

By Business Desk | Edited by Manmath Nayak

7th Pay Commission Latest News
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7th pay Commission Latest News Today: Amid rising inflation, here comes a big news for Central government employees who are waiting for a hike in their salary. If media reports are to be believed, lakhs of Central government employees may get a hike in their dearness allowance (DA) in July 2022. The government employees must know that the DA is announced twice a year – in January and then in July again.

The Centre generally makes announcements regarding DA in March and September every year. However, for one-and-a-half years after December 31, 2019, no hike was announced in the DA amount due to COVID pandemic.

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The Centre had halted the DA hike from January 2020 till June 30, 2021 because of COVID pandemic. However, the DA hike was restored in July last year.

On the 7th Pay Commission’s recommendations, the DA for all Central government employees was hiked in July 2021 to 28 per cent from 17 per cent. And then in October last year, the DA was hiked by more than three times.  From July 1, 2021, all Government employees started receiving DA at the rate of 31 per cent.

Moreover, the government employees on January 1, 2022 received three-time hike in DA, after which they received DA at 34 per cent rate.

Now, the new hike in DA will come into effect from July 1, 2022 onwards. The government employees and pensioners will also get arrears due to them from July 2022 till the period the hike in DA comes into effect.

If the DA is hiked, then on the basis of the recommendations of the 7th Pay Commission, on a basic pay of Rs 18,000, there will be a hike of Rs 540 in DA. And if the basic pay is Rs 25,000 then the DA hike will be Rs 750 per month, while those getting Rs 50,000 as basic pay, will get a DA hike of Rs 1,500 per month.

Apart from the DA hike, they will get a hike in their basic pay with the inclusion of the fitment factor, as there are speculations that Government may also soon approve a hike in the fitment factor.

The government employees’ association for long time been demanding that the fitment factor be increased from 2.57 times to 3.68 times.

If their demand is accepted, then the minimum wage or basic pay of Central Government employees will also increase from Rs 18,000 to Rs 26,000. Previously, the Centre had increased the salary at the entry-level in 2017. At that time, the basic salary had been hiked from Rs 7,000 to Rs 18,000. Now, if the fitment factor is hiked, the Central government employees may also get a hike in their basic pay in July along with an enhanced DA.

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