7th pay commission DA and HRA hikes likely to benefit the Government Employees
The 7th pay commission HRA and DA hike for the Central government employees will significantly increase their salary to higher amounts.
The central government employees are likely to get two benefits this year DA hike and an increase in HRA, where the likely increase of dearness allowance [DA] by 4 to 5 percent, will reach 50 percent making a decent salary increase. The noted point is that the employees who live in a rented house get the benefit of HRA and the amount of HRA differs from city to city, which means the employees who live in tier-1 cities would get more HRA than the employee who lives in tier-II or tier-III cities.
Presently, the employees are getting a dearness allowance [DA ] around 46 percent, where a 4% increase is mostly expected. In general, the DA rate is revised twice a year - in January and July- based on the half-yearly data of the AICPI index. A total of 8% DA was increased in 2023.
Read Also : IndusInd Bank Q1 FY25 results, net profit at 2% YoYNormally, the DA rate is revised twice a year - in January and July- based on the half-yearly data of the AICPI index.
The HRA [House Rent Allowance] is subsequently based upon the category of cities- Broadly the category is divided into 3- categories, X, Y and Z
The city with the 'X' category includes areas with a population of 50 lakh and more and employees in this city category get 24 percent HRA as per the recommendation of the Central Pay Commission [CPC] under the 7th Pay Commission.
The city 'Y' includes a population between 5 lahks to 50 lakh and the employees living in this category get 16 percent HRA of the basic salary.
Read Also : RBI issues guidelines on higher liquidity coverage ratio for retail depositsThe city 'Z' category includes those employees whose population is less than 5 lakh and the employees get 8 percent HRA hike in this category.
Read Also : India assumes the Chair of Asian Disaster Preparedness CentreNews Must Read
- Karnataka Bank Announced record Q1 Net Profit at Rs. 400.33 CR
- NTPC, BHEL shares soar higher amid JV announcement in Budget 2024
- BEL signs tripartite MoU for manufacture of indigenised ammunition
- Goa Shipyard Limited launched first indigenous P1135.6 Frigate
- Chandan Sinha appointed as Non-Executive Part Time Chairman of RBL Bank
- OIL and Dolphin Drilling signs contract for hiring of Blackford Dolphin
- Cmde D.K. Murali, IN (Retd.) Joins as CMD of BECIL
- Samir Chandra Saxena Appointed as Director (Market Operation) of GRID-INDIA
- MOIL CMD bags Title 'CEO of the Year'
- ONGC sign MoU with GSI to advance geothermal exploration in Ladakh