Centre likely to Announce DA Hike For Govt Employees After G20 Summit

Reports claimed that the Centre is likely to announce a hike in DA after the G20 summit in Delhi which will end on September 10. However, there has been no official confirmation on the matter so far.

After the release of the latest Consumer Price Index (CPI) data, the Central government employees are eagerly waiting for a hike in DA to help them manage rising inflation. The development comes as the retail inflation in July 2023 has gone up to a 15-month high of 7.44 per cent. The inflation this time is much above the Reserve Bank of India’s target of limiting retail inflation to 4 per cent or lower.

At this time, a hike in Dearness allowance (DA) is expected for Central government employees. A report by Zee Business claimed that the government is likely to announce a hike in DA after the G20 summit in Delhi which will end on September 10. However, there has been no official confirmation on the matter so far.

Earlier, a Ministry of Finance official had told India.com that the DA hike for the Central government employees should be expected in the third week of September. The official further stated that a 4% DA hike could be expected this time for the employees.

It should be noted that the DA/DR is provided as a relief measure to Central government employees cut down the impact of inflation on the value of the in-hand salary/pension provided to Government employees and pensioners. The DA/DR hike is announced for the government employees based on the formula recommended by the 7th Pay Commission.