DA from 01 Oct 2023: The Ministry of Finance issued a notification to increase the dearness allowance of Central Government employees from 1 October 2023. The dearness allowance will be increased according to the different pay scales of employees. If you are also in government employee then you can also check the news of increasing DA of the specific department of Central Government. The DA will be calculated from 1 October 2023.
DA Hike from 1 October
Employees working under Central Public Sector Enterprises- CPSE Who are working on a 1987 and 1992 basis will get a DA hike in their salaries from one October 2023. The Department of Public Enterprises issued a memorandum on 6 October 2023 to increase the IDA of these employees. The Ministry of Finance has announced a dearness allowance (DA) hike for executives and supervisors of Central Public Sector Enterprises (CPSEs) following IDA scales of pay. The new DA rates will be effective from October 1, 2023.
DA for the Quarter of June to August 2023
It is informed in the official notification that the department increases the DA of their employees from January to April and July to October each year. The department will increase the rates of DA according to the different pay levels of employees. The percentage of the DA will be decided according to the all-India consumer price index- AICPI. Over 1 million employees of CBSE executives and supervisors will get the direct benefit of increasing dearness allowance. If you are also working in these departments then you will also get the increased DA announced in your next salary.
DA Hike Pay Wise
Employees will get the new DA amount according to their basic salary and pay scale. If we discuss the average AICPI of the quarter of June to August 2023, it has increased to 9100. According to this CPI index, The department is increasing 728% DA for their employees according to their pay scales. You can also check the following table to know about the pay scale wise and salary wise increment in dearness allowance of the Central Government employees. It should be also remembered that, there is a maximum limit of increasing DA which is also mentioned in this table.
|Basic pay||DA Rates||Max. DA|
|Up to 3500/-||728%||16002|
|3500 to 6500||546%||25480|
|6500 to 9500||436.8%||35490|
|More than 9500||364%||41496|
The DA hike is also expected to have a positive impact on the economy as a whole. It is estimated that the DA hike will inject an additional Rs. 10,000 crore into the economy. This will boost consumption demand and help to drive economic growth.
The government’s decision to announce a DA hike for CPSE executives and supervisors is a welcome move. It is a recognition of the important role that CPSEs play in the Indian economy. The DA hike will help to improve the lifestyle of CPSE employees and make them more productive. It will also help to attract and retain top talent in the CPSE sector.
In addition to the DA hike, the government is also taking other steps to improve the working conditions and welfare of CPSE employees. For example, the government has recently announced a new pay structure for CPSE employees. The new pay structure is based on the recommendations of the 7th Pay Commission. It will lead to an increase in the salaries of CPSE employees by around 24%.
The government’s commitment to the welfare of CPSE employees is commendable. It is a sign that the government is committed to making the CPSE sector more efficient and competitive.