7th Wages Commission: Salary of Central Government Employees Could Increase by THIS Amount in 2022 | Personal finance news
New Delhi: As January 2022 fast approaches, thousands of central government employees are eagerly waiting to receive their DA arrears, which have been pending for over 18 months. If the DA increases, the salaries of central government personnel will increase at the same rate. However, the amount of the DA increase that will be applied in January 2022 is not yet known. However, according to the AICPI index, the DA is expected to increase by 3% in 2022.
In addition to the DA increase, several central government personnel are expected to be promoted in the new year. According to some sources, conversations on the adjustment factor are also taking place before the 2022 budget, and the Center may soon make a final decision in this regard. It should be noted that an increase in the adaptation factor will result in an increase in the basic minimum salary of civil servants in 2022.
With a 3% increase in DA, the overall DA for central government employees will be 34%. This means that a central government employee earning Rs 18,000 per month will receive Rs 73,440 in annual dearness allowance.
The allowance rate had been raised from 17% to 28% by the Narendra Modi government. Later in October, the rate of the allowance was increased by a further 3%.
For the uninitiated, the DA is a cost-of-living adjustment allowance paid by the State to public sector employees as well as retirees who have worked in the same sector.
Due to the COVID-19 pandemic, the Ministry of Finance halted the DA hike in May 2020. On June 30, 2021, the halt was lifted. The Indian Pensioners Forum, or Bharatiya Pensioners Manch (BMS), has also urged Prime Minister Modi to settle arrears in allowances and high cost relief for central workers and retirees.