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7th Pay Commission: After DA hike upto 34%, these 4 allowances may also increase
With the hike in DA, these 4 allowances may also increase. Here's the list.
DA hiked upto 34%
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The Union cabinet last month gave approval for 3 percent hike in Dearness Allowance (DA) under the 7th pay commission. With this recent rise, DA has now become 34% of the basic income. Over 50 lakh government employees and 65 lakh pensioners are getting profit from this move. With the hike in DA, these 4 allowances may also increase. Here's the list.
DA hike linked to basic pay
The DA is proportional to the base wage. As a result, a raise in DA will also raise central government employees' monthly provident fund (PF)
DA hike will lead to increase in gratuity
The gratuity amounts of the employees will also be increased due to the hike in DA.
DA hike clears path for TA, CA hike
The hike in dearness allowance has also cleared the path for hike in Travel/Transport Allowance and City Allowance of the employees.
Govt may also hike HRA
There have also been speculations in the media that the government is contemplating a hike in the HRA as the DA has been hiked.
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