New Delhi: Narendra Modi government is likely to hike dearness allowance (DA) by 6 percent to 125 percent.

The likely increase in dearness allowance by six percent to 125 percent from existing 119 percent would benefit over 10 million central government employees and pensioners.

The new rate of DA will be implemented from January 1, 2016, which will be applicable for 4.8 million central government employees and 5.5 million pensioners. DA is paid as a proportion of basic pay of employees.

The proposal to hike DA is moved by the Finance Ministry on the basis of accepted formula for calculation. The Union Cabinet approves the DA hike for its employees.

The Centre revised DA twice in a year on the basis of one year average of retail inflation for industrial workers as per the accepted formula.

Earlier in September last year, DA was increased to 119 percent from 113 percent which was effective from July 1, 2015. In April last year, the government had hiked DA by 6 percentage points to 113 percent of their basic pay with effect from January 1, 2015.

Source: Zee news

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G.I., Dept. of Expenditure, O.M.No.1(3)/2008-E.II (B), dated 1.10.2015

Subject: Rates Of Dearness Allowance applicable w.e.f. 1/7/2015 to employees of Central Government and Central Autonomous Bodies continuing to draw their pay in the pre-revise scale as per 5th Central Pay Commission

The undersigned is directed to refer to this Department’s O.M. Of even No. dated 24th April, 2015 revising the rates of Dearness Allowance in respect of employees of Central Government and Central Autonomous Bodies who continue to draw their pay and allowances in the pre-revised scales of pay as per 5th Central Pay Commission.

2. The rates of Dearness Allowance admissible to the above categories of employees of Central Government and Central Autonomous bodies shall be enhanced from the existing rate of 223% to 234% w.e.f. 1/7/2015. All other conditions as laid down in the O.M. of even number dated 3rd October, 2008 will continue to apply.

3. The contents of this Office Memorandum also be brought to the notice of the Organizations under the administrative control of the Ministries/Departments which have adopted the Centra Government scares of pay.

Authority: www.finmin.nic.in

Click to view the order

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Order for Merger of 50% DA, Retirement age news.

Recently rumour mill went overdrive in social media with the following news that

1. Central Government decided to merge 50% DA with basic pay with effect from 1.1.2015.

2. It went on to say that age of Retirement will be on completion of 33 Years of service or at the age of 58 Years whichever is earlier.

The 7th CPC is expected to submit its report shortly and due to Bihar elections the Central Government cannot take any policy decisions in this regard. Hence it is clarified that none of the above news are correct.

Source: http://karnatakacoc.blogspot.in/

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Dearness Allowance increase is likely to be 118% of pay from July 2015

NFIR
National Federation of Indian Railwaymen
3, CHELMSFORD ROAD, NEW DELHI – 110 055

Affiliated to :
Indian National Trade Union Congress (INTUC)
International Transport Workers’ Federation (ITF)

No. I/5(A)/Part. I Dated: 01/05/2015
The General Secretaries of
Affiliated Unions of NFIR

Dear Brother,

Sub: Dearness Allowance w.e.f. 01/07/2015 -reg.

The All India Consumer Price Index for March 2015 was 254 and if it remains as it is for next three (3) months or if it rises to 256, the average is expected to be 253. Consequently, the Dearness Allowance increase is likely to be 118% of pay from July 2015.

The above is for information of affiliates. You are aware that the Government normally announces DA. revision in September, to be given effect from July.

Yours fraternally,

sd/-

(Dr. M. Raghavaiah)
General Secretary

source-http://www.nfirindia.org/

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Patna: The Nitish Kumar government in Bihar today announced a pre-election sop for government employees and pensioners by hiking Dearness Allowance by six to 11 per cent.
A decision to this effect was taken at a meeting of the state Cabinet presided over by Chief Minister Nitish Kumar.

Briefing on the cabinet decisions, Principal Secretary, Cabinet Coordination, Shishir Sinha told reporters the DA has been increased from 107 per cent to 113 per cent for revised salary category for employees.

For those falling under unrevised category (those who could not avail 6th Pay Commission because of some service related dispute) the DA was raised from 212 per cent to 223 per cent, Sinha said.

For both categories, which constitute about four lakh employees, the hiked DA would be applicable with effect from January 1 this year, the principal secretary said.

The government would incur an additional financial burden of Rs 821 crore annually due to hike in the DA, he added.

The Bihar cabinet also approved a total of 24 agendas of different departments today.
PTI

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No. 2(42)/97-DPE (WC)-GL-VIII/15
Government of India
Ministry of Heavy Industries & Public Enterprises
Department of Public Enterprises

Public Enterprises Bhawan,
Block 14, CGO Complex, Lodi Road.
New Delhi-110003, 29thApril, 2015

OFFICE MEMORANDUM

Subject: – Payment of DA to the CDA pattern employees of CPSEs governed by HPPC recommendations.

The undersigned is directed to refer to Para No. 2 and Annexure-III to this Department’s OM. dated 24.10.1997 wherein the rates of DA payable to the employees of CPSEs following CDA pattern pay scales, which are governed by HPPC recommendations had been indicated.

2. In continuation of this Department’s OM of even number dated 9.10.2014, the rates of Dearness Allowance w.e.f. 01.01.2015 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 QM. dated 24.05.2005 to their employees. the DA payable may be enhanced from existing rate of 262% to 273%.

b) In case of CPSEs who have allowed the benefit of merger of 50% of DA with basic pay as contained in DPE QM. dated 24.05.2005 to their employees, the DA payable may be enhanced from existing rate of 212% to 223%.

3. 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.

4. 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 action at their end.

sd/-
(Samsul Haque)
Under Secretary

Source: http://dpe.nic.in/sites/upload_files/dpe/files/29_04_2015_CDA_5th_CPC0001.pdf

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Recently rumour mill went overdrive in social media with the following news that

1.central government decided to Merge 50% DA with basic pay with effect from 1.1.2015 and order will be issued within 15 days

2. Encashment of Earned Leave to be curtailed to 180days instead of existing 300 days.

3.It went on to say that age of Retirement will be on completion of 33 Years of service or at the age of 58 Years whichever is earlier

According to the Social Media , the above strong decisions were taken in last three meeting of cabinet committee to recommend 7th pay commission. Further the post published in social media warned the central government employees that if above decisions are implemented; they should not expect more from 7th Pay Commission. Since it is considered to be the indication of what the think tank of central government will do for its employees.

We enquired about this rumour with one of the Member to the National council JCM, who recently met the 7th Pay Commission. According to him, the central government has firm on its decision not to accept the Merger of DA with Pay, since the due date of the 7th Pay Commission to submit its recommendation is nearing and the central government in many occasions cleared that the recommendation of 7th pay commission will be implemented from 1.1.2016. So there is no question of issuing order for merger of 50% DA with effect from 1.1.2015.

Further he clarified that the present government wanted to use the man-hours of central government employees productively by introducing new systems like bio metric attendance etc. Hence curtailing EL Encashment will lead the central government employees to take more leave if it is not allowed for encashment. So there is no need to implement such proposal as government point of view is against taking leave by Govt officials.

There is mixed response from the sources whether the retirement age of central government employees will be revised or not. It is believed that the present government is in favour of reducing retirement age to 58. But at the same time government doesn’t want loose resources of knowledge gained through experience by reducing retirement age of Government employees. Since the work culture of government service is deteriorating day by day due to various factors , govt would like to retain the experience of the senior Government officials . Anubhav is the one of the initiative introduced by the central government to improve the work culture of youngsters in government service. So there will not be any change in retirement age of central government employees at present.

Source:www.gservants.com

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Subject: Rates of Dearness Allowance applicable w.e.f. 1.1.2015 to employees of Central Government and Central Autonomous Bodies continuing to draw their a in the pre revised scale as per 5th Central Pay Commission.

Download Original from Finance Ministry Website in English Click here

Download Original from Finance Ministry Website in Hindi Click here

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An another announcement of hiking in Dearness allowance to the employees of State Government of Tamil Nadu today.

Tamilnadu Chief Minister announces an additional DA to state employees from 1.1.2015.

More than eighteen lakh state government employees will get the hike, which is effective from 1.1.2015.

Following the Central Government, the state government has declared DA to its employees from the existing rate of 107% to 113% with effect from 1.1.2015.

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