Dearness allowance will be included in the salary of government employees, know the complete account of DA

Under the 7th Pay Commission, Dearness Allowance (DA) forms an important part of the salary of government employees. With rising inflation, the government gives DA as an additional amount on the basic salary of employees. Recently it has been increased by 53%, due to which there is a possibility of a big change in the salary of government employees.

How much has dearness allowance increased?

• Last year’s status:
  • Last year, before Diwali, the government had increased DA by 3%.
  • Earlier in March 2024, DA was increased by 4%.
• Current increase:
  • DA was earlier 46%, which has now increased to 53%.
  • This increase directly impacts the salaries of employees positively.

Will dearness allowance be included in basic salary?

DA increased by 3% from 50% to 53% in October 2023. After this the discussion started that DA can be added to the basic salary.

• Possibility of change in salary:
  • If DA is merged into basic salary, there will be a big change in the salary of government employees.
  • This will also affect other allowances and services.

Why can DA merge?

There has been a tradition of including DA in basic salary after it exceeds 50%.

• Merges happened earlier in history:
  • In 2004, DA was merged into basic salary when it was more than 50%.
  • This discussion also took place during the Sixth Pay Commission.
• Current discussion:
  • Union Minister Ashwini Vaishnav said that consideration is being given to merging DA with basic salary.
  • However, the government has not yet taken any final decision.

Impact of change in salary system

If DA is merged with basic salary, major changes may be seen in the salary structure.

• Current Salary Structure:
  • According to the 7th Pay Commission, the minimum basic salary is Rs 18,000.
  • 53% dearness allowance is available on this.
• After merge:
  • Upon merger, the basic salary will increase.
  • This will also affect future allowances, pension, and gratuity.

first merge experience

• In 2004, DA was merged into basic salary when it was more than 50%.
• However, later these rules were changed.

Benefit of merger in salary

1. Increase in basic salary:
   • Due to merger of DA, the basic salary of the employees will increase.
2. Impact on pension and gratuity:
   • The increased basic salary will provide more benefits in pension and other services.
3. Positive impact on future allowances:
   • Based on the increased salary, other allowances will also increase.