Salary hike has been ever an important debate for the government employees when clubbed with 7th pay commission. The central government has declared recently a 2% increase in Dearness allowance (DA) which will directly benefit lakhs of employees and Pensioners. This hike will become effective from 1st January, 2025 and with this employees will be awarded the arrears of last three months (January-March 2025).
Calculation And Impact Of Salary Hike
Once this hike is done, if one employee has a basic salary of 18000 he will earn 360 after 2% DA hike. On similar lines, if an employee is earning ₹30,000 per month, he/she will now receive ₹9540 at the rate of 53% DA but when it increases by 2% he/she will get ₹9900. If the DA hike was 3% the amount could hit ₹10,080 per month.
Government Stance And Future Prospects
The dearness allowance is reviewed by the government once in a year in January and July, but this time the announcement for raising DA came before Holi. Earlier in October 2024, the government had raised it by 3% taking the DA from 50% to 53%. Now, after the January 2025 rise the DA has hit 55%.
8th Pay Commission Prospects
According to reports, for 8th Pay Commission, possibly could be constituted in April 2025 and the Commission’s report may be implemented in 2026 or 2027. If this commission is brought into force, this change in salary structure of the government employees can be regarded as a big change.
Conclusion
Government employees have been blessed with a financial relief from the salary hike under the 7 th Pay Commission. An additional 2% in dearness allowance will raise their monthly earning, and financial stability. Employees are however now staring at the 8th Pay Commission from where further salary increment are expected in future. This government step will be directly advantageous to several lakhs of employees and pensioners, positively affecting their financially.
This change in government salary structure will be good news for the employees, and there can be more good news awaiting in the coming months. Now only time will tell of what further steps the government takes and whether or not the 8th Pay commission is announced soon.
Also Read: DA Arrears Latest Update: How Much Will Employees Receive? See Details