7th Pay Commission: Good news for central employees! From July 1, there will be a big change in salary

7th Pay Commission: Good news for central employees! From July 1, there will be a big change in salary

Ever since the government announced that it would resume the DA (Dearness Allowance) of an estimated 52 lakh central employees, there has been confusion among central government employees as to how it will affect their salaries.

DA will increase from 17% to 25%

The government had earlier announced that these benefits would be given to the employees from July 1, 2021. Thereafter, the DA of central employees will increase from 17 per cent to 28 per cent. The increase in DA is pending from January 1, 2021.

Rule

According to the rules of the Seventh Pay Commission, the basic salary of the employees is multiplied by the fitment factor. This fitment factor is 2.57. It increases the monthly salary of the government employees. However, it does not include allowances.

Travel Allowance i.e. TA will be increased later, while DA will be added to the salary with pending arrears. Monthly PF and Gratuity Contribution of Central Employees will also change after the increase of DA.

Night Duty Allowance

The government has changed many rules for central employees in view of the growing threat of Koro epidemic. This change is expected to bring relief to millions of central employees. Now these central employees are waiting for their DA again, here we are talking about employees who Doing Night Duty, when DA, DR starts from July, Night Duty Allowance is also expected to start.

The decision on night duty allowance was taken by the government in the first half of the last financial year as per the recommendations of the 7th Pay Commission. The Department of Personnel and Training (DoPT) had issued guidelines in this regard. But when the allowances start getting again from July, the salary of central employees will also go up from night duty.