Saturday, June 26, 2010


The second installment for this year (2010) of Dearness Allowance (DA) is awaited with lots of expectations…

The main expectation among lakhs of Central Government Employees will be announcement of the next additional installment of Dearness Allowance (DA) for this year….

The reasons are many…

Employees getting only 3% annual increment for one year and those who are getting promotion, they are also getting only Grade Pay difference + 3% annual increment after waiting for several years. But nowadays employees are getting Dearness allowance percentage much than annual increment due to all commodities price increase.

Dearness Allowance is an essential component of salary, it is based on monthly All India Consumer Price Index for Industrial Workers (Base year 2001-100) announced by the Labour Bureau – Government of India from time to time. After 6th CPC only the Government directed that the Dearness Allowance has to be calculated based on AICPIN with the base year 2001-100.

We have clearly stated in our site that the Dearness Allowance (DA) from Jan-2010 to Jun-2010 should be 8% with appropriate proof. Some had doubt about this, but the Government accepted and the 8% Dearness Allowance (DA) was announced (19.03.2010) from Jan-2010.

As of now, the situation demands increase in Dearness Allowance (DA) from Jul-2010 to Dec-2010 should be 44% and it will confirmed only when the All India Consumer Price Index (AICPIN) for May and June to be published. But when the index value 170 decreases to 165 or low for the next two months, the Dearness Allowance (DA) will be 8%. If it increases from 170 to 173 and above, there is a chance that the Dearness Allowance (DA) shoots up to 10%. Till now, we can conclude that additional Dearness Allowance (DA) will be 9% because there is no relief in the prices of essential commodities. But the Government will be strictly monitoring the situation and control prices that the AICPIN (All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100) value doesn’t go up.

In the next year, when DA crosses 50% all allowances will get a hike up to 25% as per the 6th CPC recommendations. This will bring some relief to the employees.

The Pensioners, State Government employees and who are all getting pay as per 5th CPC also looks forward eagerly waiting for the announcement of increase in Dearness Allowance (DA).

We have to wait for this announcement for almost two months.

Source: CG Staff News


Sudhar said...

Really its a good News For all the Central Govt Employees.90paisa doing a commendable work towards bringing all news at the earliast.The News aboutExpected D.A.for July 2010 is an endorcement of gservants.comprediction on Dearness Allowance from July,2010. also already told that Expected D.A.for July 2010 will be 9%.

Ramdas Iyer said...

Will the HRA also increase by 25% when the DA crosses 50%?

Anonymous said...

No, there is nowhere said in 6th CPC that HRA/DA will increase by 25% when DA crosses 50%. It is only applicable for certain allowances like Hill Allowance, Risk Allowance, Cash Handling Allowance, Tuition Fee etc. So this is not a great relief to employees.

aks said...

now petrol price and LPG price has increased ,, then up to which level it will affect the DA from july 2010

chengavarao said...

Every consumer Item has rised the cost of each item. hence it is justificed to get DA from July 2010 25% higher


Antony said...

Which are allowance will be increased 25% when da crossess 50 %

Anonymous said...

D A Must be at least 10%

Anonymous said...

It is more likely that DA rise will be 10% rather than 9%. CPI index for the May has gone up by two points to 172. If it goes up by 2 more points in June also, DA increase will be 10%.It is likely to go up in June by atleast 2 points as the prices of Petroleum products have been hiked substantially in the last week of June. Though one would have preferred to take 9% DA than the sharp hike in Petro products and resultant inflation everywhere else, there is no choice for us.

We will have to wait until 31 July to know the CPI number for June 2010. So let us wait until then.
All the best.

kanwal said...

Has the DA wef 31 July 2010 increased to 10%

aman said...

consumer price index for May 2010 is 172 and the rate of new d.a. from july 2010 will be surely 44%. If the index reaches atleast 174 and above in June 2010 then new rate of d.a. from july 2010 will be 10%.

Nandhi said...

Some of the Allowances and Advances also would be automatically raised by 25% every time the Dearness Allowance on the revised pay structure goes up by 50%.

We compile all these Allowances and Advances and given below for your information...

1. All Compensatory Allowances

2. Children Education Allowance

3. Child Care Allowance

4. Cycle Allowance

5. Washing Allowance

6. Cash Handling Allowance

7. Conveyance Allowance

8. Split Duty Allowance


Advances as follows...

1. Festival Advance

2. Flood/Drought/Cyclone Advance

3. Warm Clothing Advance

Anonymous said...

kindly tell me about how much military service pay wii be hiked when dearness allo will cross 50%?

pAwAn SoBti said...

I & the rest of the other lot who are central/State Government servants are just eagerly waiting for Aug & Sept 2010 to pass us by for the heart warming announcement by the cabinet giving us another packet of DA anywhere between 9% to 10% in Oct 2010 Can the webmasters at offer a free tool for free download to its visitors--Pawan Sobti

Anonymous said...

I think the D A should be atleast 11 - 12% seeing the steep price hike of vegetables and other essential commodities, what do you say my dear friends

Anonymous said...

I feel that the DA from July, 2010 should be at least 11 - 12% because seeing in the steep price hike of essential commodities, vegetables and petrol, kerosine etc.,

Santosh said...

All India Consumer Price Index as on 31 May 2010 is 172. That means if the AICPI on 30 jun 2010 either remains 172 or goes up above this value, the DA would be 10% or may be more depending on how much more CPI exceeds 173. Hopefully minimum 10 %.

kamal ranjan said...

Increment of 10% DA is a welcome step but it should be 12% looking into the price index and other inflationary considerations-

Nand Kishore said...

Viewing the recent rise in the household commodities , the DA increase must be 12% . What about the HRA??

licha tagam said...

Guys....... do not expect of getting 11% or 12% DA from july 2010. Minimum DA raise would be 9% and maximum DA increase would be 10% if AICPIN reaches 174.

tagam said...

do not expect to get DA increase of 11% or 12%. maximum DA increase will be 10% if AICPIN reaches 174 otherwise DA increase will be 9%.

mad.monk9 said...

Increase in Allowances of 25%, after DA crosses 50%, is OK for serving personnel. How about Pensioners? Is there any provision for them?

Anonymous said...

10% DA confirmed. AICPI for the June 2010 is 174.

tagam said...

as the AICPIN for the month of june 2010 raised to 174, the DA for cenral govt. employee will be 45% from july 2010.

rajesh said...


Anonymous said...

Is it not possible to make some calculation arrangements, so that the DAs can be decalred in Jan & July itself. Why the delays of 3 months to announce & Payment!!

Anonymous said... is possible after one month when the data for AICPIN is known for the previous month.

siddhesh said...

are nationalised banks a part of central govt?

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