Sunday, January 2, 2011

Dearness Allowance Percentage Overview for Central Government Employees

Dearness Allowance Percentages - Overview


All of us waiting for Dearness allowance percentage for January 2011, as per AICPIN calculation, we are going to get 6% Dearness allowance from January 2011.

Let us see the past Dearness allowance percentage for Central Government Employees.

Here is the DA Table from 1.1.1996 to 1.1.2004 :

As on

Rates of DA (%)

1.1.1996

0

1.7.1996

4

1.1.1997

8

1.7.1997

13

1.1.1998

16

1.7.1998

22

1.1.1999

32

1.7.1999

37

1.1.2000

38

1.7.2000

41

1.1.2001

43

1.7.2001

45

1.1.2002

49

1.7.2002

52

1.1.2003

55

1.7.2003

59

1.1.2004

61

CHART

(Note : Click image to enlarge)

The Fifth CPC had also recommended that

  • Dearness allowance equal to 50% of the basic pay should be converted as dearness pay each time the Consumer Price Index increased by 50% over the base index.
  • The dearness pay was to be counted as basic pay for all purposes, including retirement benefits.
  • The Government allowed merger of dearness allowance equal to 50% of the basic pay into dearness pay to be counted as pay for all purposes barring TA/DA, LTC and entitlement for Government housing w.e.f. 1.4.2004.

The Government merged 50% of the DA with basic pay w.e.f. 1.4.04 and the dearness allowance continued to be calculated with reference to the AICPI (IW) average as on 1st January 1996 of 306.33 without changing the base consequent to the merger. Accordingly, DA at following rates was sanctioned by the Government from 1.7.04 till 1.7.07

As on

Rates of DA (%)

1.7.2004

14

1.1.2005

17

1.7.2005

21

1.1.2006

24

1.7.2006

29

1.1.2007

35

1.7.2007

41

CHART

(Note : Click image to enlarge)

The decision taken by the Government on the recommendations of the Sixth Central Pay Commission relating to DA, to decide that the DA admissible to all categories of Central Government employees shall be admissible from the dates mentioned below at the following rates:


As on

Rates of DA (%)

1.1.2006

0

1.7.2006

2

1.1.2007

6

1.7.2007

9

1.1.2008

12

1.7.2008

16

1.1.2009

22

1.7.2009

27

1.1.2010

35

1.7.2010

45


CHART
(Note : Click image to enlarge)


Let us wait for January 2011 Dearness Allowance Percentage.



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