Dearness Allowance to Increase Before Rakshabandhan! Employees and Pensioners May See Rs 50,000 Hik
The dearness allowance (DA) for central government employees and pensioners is set to increase, with estimates suggesting a 4% hike in July 2024. This will raise the total DA from 50% to 54%, expected to be announced in August or September.
Based on current projections, the anticipated 4% DA increase will impact the financial outlook of many government employees and pensioners. The DA, which was last increased by 4% in January 2024, reaching 50%, will see another rise based on the half-yearly data from the All India Consumer Price Index (AICPI).
The central government reviews the DA twice a year, in January and July, based on AICPI index data. The index figures from January to May 2024 are as follows:
- January. 138.9 points
- February 139.2 points
- March138.9 points
- April. 139.4 points
- May. 139.9 points
Current AICPI Index Status
These figures influence the calculation of DA. The consistent rise in the AICPI index supports the forecast of a DA increase to 54%.