Wednesday, May 19, 2021

Will pending Dearness Allowance be paid to central government employees on July 1? Here you can find the most recent updates

Will pending Dearness Allowance be paid to central government employees on July 1? Here you can find the most recent updates

The central government employees and pensioners will now have to wait a bit longer as the meeting of the National Council of JCM, the Department of Personnel and Training (DoPT) and the Ministry of Finance (Department of Expenditure) officials have been postponed due to the ongoing Covid pandemic.


7th Pay Commission Latest News: Central government employees who are waiting for an announcement on Dearness Allowance and Dearness Relief, here is a major update for you. The Central government had in March last stated that Dearness allowance (DA) of central employees and Dearness Relief (DR) for pensioners would be resumed from 1 July 2021. However, the central government employees and pensioners will now have to wait a bit longer as the meeting of the National Council of JCM, the Department of Personnel and Training (DoPT) and the Ministry of Finance (Department of Expenditure) officials have been postponed due to the ongoing Covid pandemic.

As per the latest updates, the meeting between the National Council of JCM and the officials at the DoPT and the Ministry of Finance (Department of Expenditure) to discuss the 7th central Pay Commission matrix issue was supposed to be held on 8 May 2021. It will now happen in the last week of May 2021.

In this pandemic time, the Central employees and pensioners are receiving only 17 percent dearness benefit, which may increase to 28 percent, resulting in a significant increase in the 7th CPC salary.

Earlier, Anurag Singh Thakur, Minister of State for Finance, had stated that the three instalments of dearness allowance will commence to be paid on July 1, 2021. Thakur had also claimed in a report submitted to the Upper House of Parliament about the payment of DA that the three pending DA instalments of Central Government employees will be subsumed and that the modified DA rates will take effect on July 1, 2021.

If the DA rates come into effect from July 1, nearly 50 lakh central government employees and more than 65 lakh pensioners will benefit from the decision of the Central government.

Dearness Allowance is an important component of salary which is a fixed percentage of an employee’s basic salary. Likewise, the Dearness Relief is computed with reference to basic pension or family pension of the pensioner.

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