5th CPC DA Revised to CPSE Employees following CDA pattern pay scales, who are governed by HPPC

CPSE DA from July 2021 – 5th CPC DA Revised to CPSE Employees wef 01.07.2021

No. 2(42)/97-DPE (WC) -GL-VII/21
Government of India
Ministry of Finance
Department of Public Enterprises
Public Enterprises Bhawan

Block 14, CGO Complex, Lodi Road,
New Delhi-110003, the 24th August, 2021

OFFICE MEMORANDUM

Subject: Payment of DA to the CDA pattern employees of CPSEs on 5th CPC pay scales governed by HPPC recommendations w.e.f. 01.07.2019 -reg.

The undersigned is directed to refer to DPE’s OM No. W-02/0038/2017- DPE(WC)-GL-IX/20 dated 28.04.2020 regarding freezing of Dearness Allowance to employees of CPSE following CDA pay scales at current rates till 30.06.2021 and Para No. 2 and Annexure-III to this Department’s O.M. dated 24.10.1997 wherein the rates of DA payable to the employees of CPSEs following CDA pattern pay scales, who are governed by HPPC recommendations had been indicated.

2. In continuation of this Department’s OM of even number dated 29.10.2019, the rates of Dearness Allowance payable to the employees of CPSEs governed by the recommendations of HPPC, which have not revised their pay scales in terms of DPE O.M. No. 2(54)/2008-DPE(WC) dated 14.10.2008 may be as follows:-

• a) In case of CPSEs who have not allowed the benefit of merger of 50% of DA with basic pay as contained in DPE O.M. dated 24.05.2005 to their employees, the DA payable may be enhanced from existing rate of 362% to 406% w.e.f. 01.07.2021.
• b) In case of CPSEs who have allowed the benefit of merger of 50% of DA with basic pay as contained in DPE O.M. dated 24.05.2005 to their employees, the DA payable may be enhanced from existing rate of 312% to 356% w.e.f. 01.07.2021.

3. The above increase subsumes the additional installments arising on 01.01.2020, 01.07.2020, and 01.01.2021. The rate of Dearness Allowance for the period from 01.01.2020 till 30.06.2021 shall remain at 312%, where the benefit of merger of 50% of DA has been allowed and at 362% where the benefit of merger of 50% of DA has not been allowed.

4. The payment of Dearness Allowance involving fractions of 50 paise and above may be rounded off to the next higher rupee and the fractions of less than 50 paise may be ignored.

5. All administrative Ministries/ Department of Government of India are requested to bring the foregoing to the notice of the Central Public Sector Enterprises under their administrative control for necessary action at their end.

(Samsul Haque)
Under Secretary