Grant of Dearness Allowance to central Government employees-Revised Rates effective from 01.07.2021.
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Showing posts with label DA. Show all posts
Showing posts with label DA. Show all posts
AICPIN for the month of May 2021
All India Consumer Price Index Number (AICPIN) for the month of May 2021 has been released by the Labour Bureau and the index is increased by 0.5 points and stands at 120.6. The press release is given below.
GOVERNMENT OF INDIA
MINISTRY OF LABOUR & EMPLOYMENT
LABOUR BUREAU
F.No. 5/1/2021-CPI
‘CLEREMONT’, SHIMLA-171004
DATED: 30th June 2021
Press Release
Consumer Price Index for Industrial Workers (2016=100) – May 2021
The Labour Bureau, an attached office of the M/o Labour & Employment, has been compiling Consumer Price Index for Industrial Workers every month on the basis of retail prices collected from 317 markets spread over 88 industrially important centres in the country. The index is compiled for 88 centres and All-India and is released on the last working day of succeeding month. The index for the month of May, 2021 is being released in this press release.
The All-India CPI-IW for May, 2021 increased by 0.5 points and stood at 120.6 (one hundred twenty and point six). On 1-month percentage change, it increased by 0.42 per cent with respect to previous month compared to an increase of 0.30 per cent recorded between corresponding months a year ago.
The maximum upward pressure in current index came from Food & Beverages group contributing 0.35 percentage points to the total change. At item level, Rice, Arhar Dal, Masur Dal, Fish Fresh, Goat Meat, Eggs-Hen, Edible Oil, Apple, Banana, Jamun, Papaya, Potato, Tomato, Brinjal, Cabbage, French Bean, Garlic, Onion, Sugar White, Tea-leaf, Cooking Gas, Kerosene Oil, Mobile Telephone Charges, Petrol, etc. are responsible for the rise in the index. However, this increase was mostly checked by Leech, Mango, Water Melon, Bitter Gourd, Lady’s Finger, Lemon, Parwal, Torai, Tamarind, etc. putting downward pressure on the index.
At centre level, Coonoor recorded a maximum increase of 4.1 points followed by Udham Singh Nagar with 3.6 points. Among others, 4 centres observed an increase between 2 to 2.9 points, 18 centres between 1 to 1.9 points and 41 centres between 0.1 to 0.9 points. On the contrary, Bhilwara recorded a maximum decrease of 1.2 points followed by Amritsar with 1 point. Among others, 17 centres observed a decline between 0.1 to 0.9 points. The rest of 4 centres remained stationary.
Year-on-year inflation for the month stood at 5.24 per cent compared to 5.14 per cent for the previous month and 5.10 per cent during the corresponding month a year before. Similarly, Food inflation stood at 5.26 per cent against 4.78 per cent of the previous month and 5.88 per cent during the corresponding month a year ago.
The next issue of CPI-IW for the month of June 2021 will be released on Friday 30th July 2021. The same will also be available on the office website www.labourbureaunew.gov.in.
sd/-
(Shyam Singh Negi)
Deputy Director-General
Restoring the frozen DA / DR from 01.07.2021 – Process would be initiated for getting the Cabinet Approval: Cabinet Secretary
Restoring the frozen DA / DR from 01.07.2021 – Process would be initiated for getting the Cabinet Approval: Cabinet Secretary
As per outcome of National Council JCM meeting held on 26.06.2021 published by NC JCM the Cabinet Secretary stated that Department of Expenditure would process the matter for getting the Cabinet Approval for restoring the frozen DA / DR from 1/7/2021.
All Central Government employees and pensioners are anxiously waiting for the outcome of this meeting since the DA due to employees and DR due to the Pensioners are freezed from 1/1/2020 for 18 months. The Central Government employees and pensioners have contributed more than Rs. 40,000/ Crores by not receiving the DA/DR due for them. Now since the economy is getting revived according to the Government itself, Central Government employees and pensioners may be given DA and DR retrospectively with arrears. Hope Government will take a positive decision in this regard.
An agenda regarding withdrawal of order of DA/DR freeze was included for discussion in meeting. The decision of issue of order regarding restoration of enhanced DA/DR as per All India CPI(IW) Index not seen. Cabinet Secretary stated that Department of Expenditure would process the matter for getting the Cabinet Approval for restoring the frozen DA / DR from 1/7/2021.
The Staff Side demanded that they are eligible for arrears from 1/1/2020 and the mode of payment can be discussed separately with the Staff Side. The Staff Side also demanded to extend the benefit to those employees who retired / expired between 1/1/2020 and 30/06/2021.
As per details of discussion stated above it is evident that the waiting for withdrawal of freezing of DA/DR doesn’t end and subject to approval of Cabinet. It is also clear that process to get approval is also pending.
The ‘Expected DA from July 2021’ will be 31%!
The ‘Expected DA from July 2021’ will be 31% for Central Govt Employees and Pensioners!
After releasing the AICPIN for the month of March 2021 the AICPIN date is decreased by 0.6 points and stood at 119.6 (one hundred nineteen and point six).
When will revoke Freezing of DA for CG Employees?
The three instalments of additional DA (Jan 2020, Jul 2020, and Jan 2021) will be resumed from July 2021. The assumption of DA percentage for the month of Jan 2020, Jul 2020, and Jan 2021 are given below with an example.
Including three instalments of additional DA and DR to be added with the July 2021 DA and DR.
- 1st January 2020: 21% (17% + 4%)
- 1st July 2020: 24% (21% + 3%)
- 1st January 2021: 28% (24% + 4%)
- 1st July 2021: 31% (Expected)
1st July 2021: 3% + 28% = 31% (Expected)
Dearness Allowance, Dearness Relief and Minimum wages likely to go up as the Modi Govt is set to revise the base year of CPI-IW
Dearness Allowance, Dearness Relief and Minimum wages likely to go up as the Modi Govt is set to revise the base year of CPI-IW
The Consumer Price Index – Industrial Workers (CPI-IW) is used as a benchmark for calculating dearness allowance for government employees, dearness relief for pensioners and wages for industrial workers
NEW DELHI: Industrial workers’ salary and government employees’ dearness allowance (DA) are likely to go up as the union government is set to revise the base year of the Consumer Price Index — Industrial Workers (CPI-IW).
The base year will be revised to 2016 from 2001 to reflect changing consumption pattern of the working class population over the years. The CPI-IW is used as a benchmark for calculating dearness allowance for government employees, dearness relief for pensioners and wages for industrial workers.
“We are revising it in next few days and it will benefit a cross section of workers and pensioners,” said Apurva Chandra, the union labour secretary.
CPI-IW is managed by the labour bureau of the ministry along with CPI- Agricultural Workers (CPI-AL) and CPI-Rural workers (CPI RL).
The revised index will be made public next week and will likely give more weight to changing consumption patterns, and extra spending on education, healthcare, transportation and increasing urban housing cost, etc.
It will also calculate data from larger industrial segment base – nearly 90 centres compared with around 78 centres now – to capture ground realities.
As per latest data, year-on-year inflation (CPI-IW) stood at 5.63% for August compared to 5.33% for July and 6.31% recorded in August 2019.
“The increase in CPI-IW will have a positive effect on wages/salaries of industrial workers engaged in organised sector besides government employees and pensioners. The rise in annual inflation is mainly due to the rise in prices of items like Rice, Potato, Brinjal, Onion, etc,” labour minister Santosh Gangwar, had said on 30 September while releasing the CPI-IW for the month of August.
Source: LiveMint
Expected DA – AICPIN for the month of July 2020 increased by 4 points
Expected DA – AICPIN for the month of July 2020 increased by 4 points
GOVERNMENT OF INDIA
MINISTRY OF LABOUR & EMPLOYMENT
LABOUR BUREAU
F.No. 5/1/2020-CPI
‘CLEREMONT’, SHIMLA-171004
DATED: 31st August, 2020
Press Release
Consumer Price Index for Industrial Workers (CPI-IW) — July, 2020
The Labour Bureau, an attached office of the M/o Labour & Employment, has been compiling Consumer Price Index for Industrial Workers every month on the basis of the retail prices of selected items collected from 289 markets spread over 78 industrially important centres in the country. The index is compiled for 78 centres and All-India and is released on the last working day of succeeding month. The index for the month of July, 2020 is being released in this press release.
The All-India CPI-IW for July, 2020 increased by 4 points and stood at 336 (three hundred and thirty six). On 1-month percentage change, it increased by (+) 1.20 per cent between June and July, 2020 compared to (+) 0.95 per cent increase between corresponding months of previous year.
The maximum upward pressure in current index came from Housing group contributing (+) 2.28 percentage points to the total change. The Food index further accentuated the overall index by (+) 1.77 percentage points. At item level, Wheat Atta, Mustard Oil, Milk (Buffalo), Green Chillies, Brinjal, Gourd, Palak, Parval, Potato, Tomato, Snack Saltish, Cooking Gas, Fire Wood, Bus Fare, Petrol, Tailoring Charges, etc. are responsible for the increase in index. However, this increase was checked by Rice, Fish Fresh, Goat Meat, Poultry (Chicken), Lemon, etc., putting downward pressure on the index.
At centre level, Jamshedpur recorded the maximum increase of 36 points followed by Haldia (23 points), Tiruchirapally (13 points), Kodarma and Faridabad (12 points each), Srinagar (11 points), Lucknow and Doom-Dooma Tinsukia (10 points each). Among others, 8 points increase was observed in 2 centres, 7 points in 5 centres, 6 points in 8 centres, 5 points in 7 centres; 4 points in 10 centres, 3 points in 9 centres, 2 points in another 9 centres and 1 point in yet another 9 centres. On the contrary, Madurai recorded the maximum decrease of 5 points. Among others, 3 points decrease was observed in 1 centre, 2 points in another centre and 1 point in 2 centres. Rest of 6 centres’ indices remained stationary.
The indices of 31 centres are above All-India Index and 45 centres’ indices are below national average. The indices of Chhindwara & Jalandhar centres remained at par with All-
India Index.
Year-on-year inflation based on all-items stood at 5.33 per cent for July, 2020 as compared to 5.06 per cent for the previous month and 5.98 per cent during the corresponding month of the previous year. Similarly, Food inflation stood at 6.38 per cent against 5.49 per cent of the previous month and 4.78 per cent during the corresponding month a year ago.
All-India Group-wise CPI-IW for June and July, 2020
| Sr. No. | Groups | July, 2019 | June, 2020 | July, 2020 |
| I | Food Group | 329 | 346 | 350 |
| II | Pan, Supari, Tobacco & Intoxicants | 390 | 404 | 406 |
| III | Fuel & Light | 277 | 297 | 299 |
| IV | Housing | 434 | 450 | 465 |
| V | Clothing, Bedding & Footwear | 225 | 229 | 229 |
| VI | Miscellaneous Group | 253 | 257 | 260 |
| General Index | 319 | 332 | 336 |
AICPIN Oct 2019 - Expected DA Jan 2020
All-India CPI-IW for October 2019 – Press release published by the Labour Bureau
No. 5/1/2019-CPI
GOVERNMENT OF INDIA
MINISTRY OF LABOUR & EMPLOYMENT
LABOUR BUREAU
`CLEREMONT’, SHIMLA-171004
DATED: 29th November, 2019
Press Release
Consumer Price Index for Industrial Workers (CPI-IW) – October, 2019
The All-India CPI-IW for October, 2019 increased by 3 points and pegged at 325 (three hundred and twenty five). On 1-month percentage change, it increased by (+) 0.93 per cent between September, 2019 and October, 2019 when compared with the increase of (+) 0.33 per cent for the corresponding months of last year.
The maximum upward pressure to the change in current index came from Food group contributing (+) 2.85 percentage points to the total change. At item level, Wheat, Wheat Atta, Goat Meat, Milk Buffalo, Milk Cow, Garlic, Onion, Brinjal, Cabbage, Cauliflower, Gourd, Lady’s Finger, Potato, Tomato, Torai, Cooking Gas, Electricity Charges, Medicine (Homeopathic), College Fee, Petrol, etc. are responsible for the increase in index. However, this increase was checked by Ginger, French Bean, Radish, Apple, Lemon, Orange, Bus Fare, Hair Oil, etc., putting downward pressure on the index.
The year-on-year inflation based on CPI-IW stood at 7.62 per cent for October, 2019 as compared to 6.98 per cent for the previous month and 5.23 per cent during the corresponding month of the previous year. Similarly, the Food inflation stood at 8.60 per cent against 7.05 per cent of the previous month and (-) 0.95 per cent during the corresponding month of the previous year.
At centre level Varanasi and Jamshedpur observed the maximum increase of 12 points each followed by Munger-Jamalpur and Chhindwara (11 points each) and Jabalpur (9 points). Among others, 8 points increase was observed in 2 centres, 7 points in 4 centres, 6 points in 4 centres, 5 points in 12 centres, 4 points in 6 centres, 3 points in 15 centres, 2 points in 11 centres and 1 point in 10 centres. On the contrary, Goa recorded a maximum decrease of 4 points followed by Tiruchirapally, Ajmer and Delhi (2 points each). Rest of the 5 centres’ indices remained stationary.
The indices of 32 centres are above All-India Index and 44 centres’ indices are below national average. The indices of Ernakulum and Warangal centres remained at par with All-India Index.
The next issue of CPI-IW for the month of November, 2019 will be released on Tuesday, 31st December, 2019. The same will also be available on the office website www.labourbureaunew.gov.in.
sd/-
(AMRIT LAL JANGID)
DEPUTY DIRECTOR
Expected DA Jan 2020 – 3rd Step of DA Calculation is Over!
Expected DA Jan 2020 – 3rd Step of DA Calculation is Over!
What is mean by ‘Expected DA’?
The expectation on the process of calculation of Dearness Allowance. DA is given twice a year. So, once in six months, DA will be revised. Every month DA will be calculated as per the data of CPI (IW). End of every June and December, the percentage will be declared as Additional DA without decimal.
Expected DA Jan 2020
We need six months of statistical data of CPI (IW) BY 2001=100 from July to December 2019 for calculating the additional DA with effect from January 2020. Today Labour bureau has released the press release of CPI (IW) for the month of September and the index is hiked by two points from 320 and stands at 322. This is the third step of the ‘Expected DA Jan 2020’ process. Already the calculation for the month of July and August is completed.
AICPIN for the month of September 2019 | Expected DA Jan 2020
Consumer Price Index for Industrial Workers (CPI-IW) – September, 2019
No.5/1/2019-CPI
GOVERNMENT OF INDIA
MINISTRY OF LABOUR & EMPLOYMENT
LABOUR BUREAU
`CLEREMONT’, SHIMLA-171004
DATED: 31st October, 2019
Press Release
Consumer Price Index for Industrial Workers (CPI-IW) – September, 2019
The All-India CPI-IW for September, 2019 increased by 2 points and pegged at 322 (three hundred and twenty two). On 1-month percentage change, it increased by (+) 0.63 per cent between August, 2019 and September, 2019 which was static between the same two months a year back.
The maximum upward pressure to the change in current index came from Food group contributing (+) 2.20 percentage points to the total change. At item level, Rice, Wheat, Wheat Atta, Coconut Oil, Groundnut Oil, Goat Meat, Dairy Milk, Milk Buffallo, Milk Cow, Pure Ghee, Chillies Dry, Garlic, Onion, Brinjal, Cauliflower, Peas, Potato, Radish, Coconut, Lemon, Sugar, Cooking Gas, Soft Coke, Under Garments, Medicine (Allopathic), Petrol, etc. are responsible for the increase in index. However, this increase was checked by Ginger, Cabbage, Carrot, French Bean, Green Coriander Leaves, Tomato, Apple, Hair Oil, Toilet Soap, etc., putting downward pressure on the index.
The year-on-year inflation based on CPI-IW stood at 6.98 per cent for September, 2019 as compared to 6.31 per cent for the previous month and 5:61 per cent during the corresponding month of the previous year. Similarly, the Food inflation stood at 7.05 per cent against 5.10 per cent of the previous month and 0.00 per cent during the corresponding month of the previous year.
At centre level Bokaro, Raniganj, Mumbai, Ahmedabad and Agra observed the maximum increase of 8 points each followed by Jalandhar (7 points) and Godavarikhani (6 points). Among others, 5 points increase was observed in 3 centres, 4 points in 10 centres, 3 points in 6 centres, 2 points in 11 centres and 1 point in 19 centres. On the contrary, Goa recorded a maximum decrease of 4 points followed by Chennai (3 points). Among others, 2 points decrease was observed in 2 centre and 1 point in 4 centres. Rest of the 14 centres’ indices remained stationary.
The indices of 31 centres are above All-India Index and 46 centres’ indices are below national average. The index of Ernakulam centre remained at par with All-India Index.
The next issue of CPI-IW for the month of October, 2019 will be released on Friday 29th November, 2019. The same will also be available on the office websites www.labourbureaunew.gov.in.
sd/-
(AMRIT LAL JANGID)
DEPUTY DIRECTOR
Source: Labour Bureau
DA hike for Central Government Employees expected; Know how it is calculated
Government employees are eagerly awaiting Dearness Allowance (DA) hike news. The announcement for an increase in DA is expected in August as AICPI data till June has not yet come. These figures will be released by the end of July. Due to the rise in the inflation rate, government employees are hopeful that their DA will be raised. DA is basically a component of salary paid to employees. It is directly concerned with the employee's cost of living and linked to the Consumer Price Index.
The Central Government revises DA from time to time. It is calculated in terms of percentage after taking the Basic Pay as the base amount. Right now employees and pensioners get 12 per cent DA. According to experts, DA is fully taxable. That is, the amount you get in the name of dearness allowance is taxable.
How DA is calculated
DA is linked to the All India Consumer Price Index (AICPI). AICPI average is taken in the formula for DA calculation.
DA% = [{AICPI's average (base year 2001 = 100) for past 12 months - 115.76}/115.76] x 100
DA is decided on the basis of the city
DA varies, depending on the employee's office location. DA will be more for the urban area. DA for semi semi-urban areas and villages will be less.
Expected DA from July 2019 – AICPIN for February 2019
All India Consumer Price Index for Industrial Workers (CPI-IW) – Feb 2019
Expected Dearness Allowance Calculation from July 2019
No.5/1/2019-CPI
GOVERNMENT OF INDIA
MINISTRY OF LABOUR & EMPLOYMENT
LABOUR BUREAU
GOVERNMENT OF INDIA
MINISTRY OF LABOUR & EMPLOYMENT
LABOUR BUREAU
‘CLEREMONT’, SHIMLA-171004
DATED: 29th March, 2019
DATED: 29th March, 2019
Press Release
Consumer Price Index for Industrial Workers (CPI-IW) – February, 2019 The All-India CPI-IW for February, 2019 remained stationary at 307 (three hundred seven). On 1-month percentage change, it remained static between January, 2019 and February, 2019 when compared with the decrease of (-) 0.35 per cent for the corresponding months of last year.
The maximum upward pressure to the change in current index came from Miscellaneous and Food groups contributing (+) 0.26 and (+) 0.17 percentage points respectively to the total change. At item level, Rice, Wheat, Wheat Atta, Goat Meat, Apple, Coconut, Gourd, Electricity Charges, Doctor’s Fee, Medicine (Allopathic), Private Tuition Fee, Petrol, etc. are responsible for the increase in index. However, this increase was checked by Jowar, Poultry (Chicken), Onion, Tamarind, Carrot, Methi, Grapes, Potato, Tomato, etc., putting downward pressure on the index.
The year-on-year inflation based on CPI-IW stood at 6.97 per cent for February, 2019 as compared to 6.60 per cent for the previous month and 4.74 per cent during the corresponding month of the previous year. Similarly, the Food inflation stood at (+) 2.63 per cent against (+) 0.97 per cent of the previous month and (+) 2.36 per cent during the corresponding month of the previous year.
At centre level Siliguri reported the maximum increase of 7 points followed by Amritsar (6 points) and Srinagar and Chhindwara (5 points each). Among others, 4 points increase was observed in 5 centres, 3 points in 4 centres, 2 points in 10 centres and 1 point in 14 centres. On the contrary, Salem and Quilon recorded a maximum decrease of 5 points each followed by Raniganj and . Coimbatore (4 points each). Among others, 2 points decrease was observed in 7 centres and 1 point in 11 centres. Rest of the 19 centres’ indices remained stationary.
The indices of 35 centres are above All-India Index and 42 centres’ indices are below national average. The index of Mercara centre remained at par with All-India Index.
The next issue of CPI-IW for the month of March, 2019 will be released on Tuesday, 30th April, 2019. The same will also be available on the office website www.labourbureaunew.gov.in.
sd/-
(AMRIT LAL JANGID)
DEPUTY DIRECTOR
(AMRIT LAL JANGID)
DEPUTY DIRECTOR
New Delhi: Less than a month after a personal income tax relief, the Union Cabinet on Tuesday approved a 3 per cent hike in Dearness Allowance or DA for government employees and dearness relief to pensioners that will be effective starting 1 January, 2019. The current rate stands at 9 per cent.
The Centre expects that it will benefit more than one crore central government employees and pensioners. The cost to exchequer is expected to be northwards of Rs 9,000 crore.
Last August, the National Democratic Alliance government had approved an increase of 2 per cent in the Dearness Allowance for the central government employees, effective from July 1, 2018, over the rate of 7 per cent of the basic pay or pension in order to "compensate for price rise". Previously, in March 2018, the Cabinet had increased DA from 5 per cent to 7 per cent in accordance with the recommendations of the 7th Central Pay Commission, a move that benefited about 48.41 lakh central government employees and 61.17 lakh pensioners.
Dearness allowance is a cost of living adjustment allowance paid to government employees and pensioners. It is a component of salary, and is counted as a fixed percentage of the person's basic salary. It is adjusted according to the inflationary trends to lessen the impact of inflation on government employees. India, Pakistan and Bangladesh are the only countries in the world where government employees are given such an allowance.
According to information hosted by government websites, DA is currently based on the All India Consumer Price Index (Industrial Workers).
Earlier, Shiv Gopal Mishra, Chief of National Joint Council of Action (NJCA), had claimed that the Narendra Modi government is serious about offering a hike in the salaries of the Central Government employees.
The Central Government employees have been demanding a hike of up to Rs 8,000 in the minimum pay and an increase in the fitment factor from 2.57 times to 3.68 times beyond the recommendations of the 7th Pay Commission.
Dearness Allowance is a Legal Right of the Employee
Kolkata: Handing a major victory to the West Bengal government’s near one million employees and pensioners, the Calcutta high court on Friday ruled that they have a legal right to inflation-linked dearness allowance (DA), overturning an order of the state appellate tribunal, or SAT.
The SAT had said that DA was the government’s discretion and that employees could not claim to have a right to it, but Debasish Kar Gupta and Sekhar B. Saraf, judges of the Calcutta high court, said in their verdict that inflation affects everyone across the country and that the appellate tribunal must reconsider the claim for DA from state government employees in the light of the rate determined by the Centre.
The judges observed that DA payment by the Centre is equal across the country. So the SAT must consider if it is justified to pay differential rates to employees posted in, say, Chennai and Delhi, the judges said in their verdict. They directed the tribunal to hear the dispute between the state and its employees rapidly and dispose of the matter within two months.
Advocate Bikash Ranjan Bhattacharya had argued for the employees that with the introduction of the Revision of Pay and Allowances Rule 2009, DA had become an enforceable legal right.
If the state does not implement the recommendations of the pay commission and pay 56% DA by the end of November, employees and pensioners of the West Bengal government will intensify their movement, said Bijoy Krishna Sinha, general secretary of the co-ordination committee of state government employees.
“We will be forced to march to the state secretariat,” he added.
With general elections less than a year away, the state government wants to pay up, but it does not have the resources to meet the demand, said a key official who asked not to be named. The state has the option to appeal Friday’s Calcutta high court verdict, but it is not clear if it will, this person added.
Back in June, the state government had announced a hike in DA, but the benefits will start to flow only from January next year.
Source: livemint
2% Dearness Allowance Hike Likely For Central Government Employees From January 1
NEW DELHI: Dearness allowance for lakhs of central government employees and pensioners is likely to be hiked by 2 per cent, government sources told NDTV.
The proposed hike is expected to come up for the approval of the Union Cabinet soon.
It will benefit 50 lakh government employees and 61 lakh pensioners of the central government and will come into effect from 1 January 2018.
Dearness allowance and dearness relief are provided to employees and pensioners to neutralise the impact of inflation on their earnings.
The existing dearness allowance - paid as proportion of the basic pay of central government employees or pension - is 5%.
According to the government, the increase in dearness allowance is made in accordance with the formula based on the recommendations of the 7th Central Pay Commission.
7th CPC Dearness Allowance from Jan-2018: Cabinet approves 2% DA to CGE
Press Information Bureau
Government of India
Cabinet
07-March-2018 19:21 IST
Cabinet approves two percent Dearness Allowance to Central Government employees
The Union Cabinet chaired by Prime Minister Shri Narendra Modi has given its approval to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.01.2018 representing an increase of 2% over the existing rate of 5% of the Basic Pay/Pension, to compensate for price rise.
This will benefit about 48.41 lakh Central Government employees and 61.17 lakh pensioners.
The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs.6077.72 crore per annum and Rs.7090.68 crore in the financial year 2018-19 (for a period of 14 months from January, 2018 to February, 2019).
This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.
***
Expected DA from Jan 2018 for Central Government Employees and Pensioners
The All India Consumer Price Index for Industrial Workers (CPI-IW) for July, 2017 increased by 5 points and pegged at 285. The Index increased by 1.79% between June, 2017 and July, 2017 when compared with the increase of 1.08% for the corresponding months of last year.
Dearness Allowance for CG Employees and Pensioners with effect from 1.1.2018 may be enhanced by 2% or 3% [Total DA percentage 7%(5% + 2%) or 8%(5% + 3%)]
AICPIN EFFECT FOR DA HIKE FROM JANUARY 2018
No. 5/1/2017-CPI
GOVERNMENT OF INDIA
MINISTRY OF LABOUR & EMPLOYMENT
`CLEREMONT’, SHIMLA-171004
DATED: 31st August, 2017
Press Release
Consumer Price Index for Industrial Workers (CPI-IW) – July, 2017
The All-India CPI-IW for July, 2017 increased by 5 points and pegged at 285 (two hundred and eighty five). In terms of monthly change, it increased by (+) 1.79 per cent between June, 2017 and July, 2017 when compared with the increase of (+) 1.08 per cent for the corresponding months of last year.
The maximum upward pressure to the change in current index came from Food group contributing (+) 3.12 percentage points to the total change. The House Rent index further accentuated the overall index by (+) 0.70 percentage points. At item level, Rice, Pure Ghee, Chillies (Green), Onion, Bitter Gourd, Brinjal, Gourd, Lady’s Finger, Palak, Parwal, Potato, Pumpkin, Tomato, Torai, Banana, Cucumber, Mango, Tea (Readymade), Bidi, Cooking Gas, Kerosene Oil, etc. are responsible for the increase in index. However, this increase was checked by Wheat, Arhar Dal, Masur Dal, Urd Dal, Coconut Oil, Mustard Oil, Poultry (Chicken), Coconut, Lemon, Petrol, etc., putting downward pressure on the index.
The year-on-year inflation measured by monthly CPI-IW stood at 1.79 per cent for July, 2017 as compared to 1.08 per cent for the previous month and 6.46 per cent during the corresponding month of the previous year. Similarly, the Food inflation stood at (-) 0.32 per cent against (-) 1.28 per cent of the previous month and 9.34 per cent during the corresponding month of the previous year.
At centre level, Jamshedpur reported the maximum increase of 12 points followed by Delhi and Ranchi-Hatia (11 points each), Raniganj and Jaipur (10 points each) and Varanasi and Amritsar (9 points each). Among others, 8 points increase was observed in 2 centres, 7 points in 7 centres, 6 points in 7 centres, 5 points in 11 centres, 4 points in 10 centres, 3 points in 13 centres, 2 points in 9 centres and 1 point in 5 centres. On the contrary, Goa recorded a decrease of 1 point. Rest of the 6 centres’ indices remained stationary.
The indices of 34 centres are above All-India Index and 42 centres’ indices are below national average. The indices of Amritsar and Lucknow centres remained at par with All-India Index.
The next issue of CPI-IW for the month of August, 2017 will be released on Friday, 29th September, 2017. The same will also be available on the office website www.labourbureaunew.gov.in.
(SHYAM SINGH NEGI)
DEPUTY DIRECTOR GENERAL
Dearness Relief to CPF beneficiaries in receipt of ex-gratia payment from July 2016 & January 2017
F.No.42/15/2016 – P & PW (G)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Pension & Pensioners’ Welfare
3rd Floor, Lok Nayak Bhavan,
Khan Market, New Delhi – 110003
Date – 12th May,2017
OFFICE MEMORANDUM
Subject:- Grant of Dearness Relief to CPF beneficiaries in receipt of ex-gratia payment-revised rated effect from 01.07.2016 and 01.01.2017-reg
In continuation of this Department’s OM No. 42/06/2016-P&PW(G) dated 03.05.2016 and OMs of even no. dated 16.11.2016 and 07.04.2017, the President is pleased to decide that the Dearness Relief @ 5th CPC w.e.f 01.07.2016 and 01.01.2017 to the following :
(i) The surviving CPF beneficiaries who have retired from service between the period 18.11.1960 and 31.12.1985, and are in receipt of ex-gratia @ Rs. 600/ p.m. w.c.f. 1.11.1997 under this Department’s OM No. 45/52/97-P&PW(E) dated 16.12.1997 & revised to Rs.3000, Rs.1000, Rs.750 & Rs.650 for Group A, B, C & D respectively w.e.f 4th June,2013 vide OM No. 1/10/2012-P&PW(E) dtd. 27th June, 2013 are entitled to
Dearness Relief at the following rates :
Date
|
Rate of Dearness Relief per month
|
01.07.2016
|
256%
|
01.01.2017
|
264%
|
(ii) Further, the following categories of CPF beneficiaries who are in receipt of cx-gratia payment in terms of this Department’s OM No. 45/52/97-P&PW(E) dated 16.12.1997 are entitled to DR at the following rates:
Date
|
Rate of Dearness Relief per month
|
01.07.2016
|
248%
|
01.01.2017
|
256%
|
(a)The widows and eligible children of the deceased CPF beneficiary who had retired from service prior to 1.1.1986 or who had died while in service prior to 1.1.1986 and arc in receipt of Ex-gratia payment of Rs. 605/- p.m. & revised to Rs.645/-p.m w.c.f 04 June, 2013 vide OM No 1/10/2012-P&PW(E) dated 27th June,2013.
(b) Central Government employees who had retired on CPF benefits before 18.11.1960 and are in receipt of Ex-gratia payment of Rs. 654/-, Rs.659/-, Rs.703/- and Rs.965/-
3. Payment of DR involving a fraction of a rupee shall be rounded off to the next higher rupee.
4. It will be the responsibility of the pension disbursing authorities, including the nationalized banks, etc. to calculate the quantum of DR payable in each individual case.
5. In their application to the Indian Audit and Accounts Department, these orders issue after consultation with the C&AG.
6. This issues in pursuance of Ministry of Finance, Department of Expenditure vide their OM No. I/3/2008-E,II(B) dated 7th April, 2017.
7. Hindi version will follow.
(Charanjit Taneja)
Under Secretary to the Government of India
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