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

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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

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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.