7th Pay Commission 2021: After facing financial hardships during the Covid 19 peak, central government employees are set to be rewarded with ‘double bonanza’. As we know that central government employees’ DA was curtailed by the Narendra Modi government to mitigate challenges posed by the Covid 19, it is learnt that government might compensate for the loss period, taking the DA for January to June 2021 at 25 per cent.
Since the All India Consumer Price Index (AICPI) announcement, the central government employees are eagerly waiting for the Dearness Allowance (DA), linked to 7th CPC (Central Pay Commission), for January-June 2021 period. Since DA is directly linked to their Travel Allowance (TA) and arrears, they cannot wait for the announcement to be made by the Modi Government.
Centre may announce 4% DA for January to June 2021 period
As per the AICPI data, the Narendra Modi government may announce 4% DA for January to June 2021 period, which means that their DA would become 25% of basic monthly salary (17+4+4) once it is restored.
Central government pensioners awaiting DA
Like central government employees, around 58 lakh retired central government pensioners are awaiting for the Dearness Allowance (DA) announcement as it is directly linked to their Dearness Relief (DR). They are also expected to get the same kind of monthly pension hike once the DR is restored.
Employees to get arrears for late DA announcement
Under the 7th CPC, after the announcement of DA, employees will get arrears for late DA announcement. For example, if the DA is announced in February, then they will get arrears for January 2021 month as the DA is meant for January to June 2021 period.
While fighting the COVID pandemic, the Centre decided to freeze DA and DR till June 2021, however, some media reports suggest that it might be restored before June 2021.