7th pay commission: The central government has given a big gift to its employees. Actually, dearness allowance of central employees has been increased by 3 percent. Along with this, dearness relief has also been increased by 3 percent. After this hike, dearness allowance has gone up to 34 percent, while dearness relief has also increased to 34 percent. This decision is effective from 1 January 2022.
How much effect on the treasury: The total burden on the exchequer will increase by Rs 9,544.50 crore per annum on account of both dearness allowance and dearness relief. About 47.68 lakh central government employees and 68.62 lakh pensioners will benefit from the new decision of the government.
Increases twice every year: Let us tell you that according to the recommendations of the Seventh Pay Commission, dearness allowance and dearness relief are increased twice a year. This increase is done on half yearly basis. This time the increase will be applicable from January 1 to January 30.
Read this-Hariom Pipe: Another company’s IPO launch will be an opportunity for investors
Understand salary wise: If the basic pay of a central employee is Rs 18,500, then he will get dearness allowance of Rs 6290 at the rate of 34 per cent. Till now, Rs 5735 allowance is being given at the rate of 31 per cent. Accordingly, the gross salary of central employees has increased by Rs 555.