7th Pay Commission Latest News: Over 50 lakh Central Government employees who have been waiting for a hike in minimum pay and fitment factor beyond 7th Pay Commission recommendations have once again become hopeful as the Union Cabinet on Wednesday approved two per cent increase in the dearness allowance (DA). The hike will be implemented with retrospective effect from July. The increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission or 7th CPC. Also Read - Good News! Cabinet Approves 4% Increase in Dearness Allowance for Central Govt Employees

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The Union Cabinet increased the allowance from 5 per cent to 7 per cent in March. Now the central government employees will get 9 per cent dearness allowance against the earlier limit of 7 per cent. With this announcement, the hopes of over 50 lakh Central Government employees for a hike in fitment factor and minimum pay beyond 7th Pay Commission recommendations are on a new high. The Central Government employees are demanding an increase of up to 3.68 per cent in the fitment factor and up to Rs 8,000 hike in minimum pay beyond the recommendations of the Seventh Pay Commission. Also Read - 7th Pay Commission Latest News: Central Govt Announces Holi Gift For Employees Based in Mathura And Vrindavan, Doubles Their HRA

Meanwhile, some reports are also suggesting that the Centre is mulling over to announce a hike in minimum pay and fitment factor beyond 7th Pay Commission recommendations for Central Government employees in January. Earlier in was said that an announcement can be expected on August 15 but, Prime Minister Narendra Modi didn’t make any declaration in this regard.



The belief of the Central Government employees has gained momentum with Arun Jaitley resuming office as the Finance Minister. However, the reports seem to be uncertain amid Minister of Finance (MoS) P Radhakrishnan statement in March this year. He had declared that the Centre is not considering a hike in minimum pay and fitment factor beyond 7th Pay Commission for 50 lakh Central Government employees and retirees.