DA Order for Central Government Employees from January 2023 – Finmin Order Dated 3rd April 2023
What will happen if DA increases to 50% for Central Government Employees?
What are the benefits available to central government employees when DA reaches 50%?
- DA from 01 January 2023 42%
- DA from 01 July 2023 46%
- DA from 01 January 2024 > 50%
The rates of HRA will not be less than Rs. 5400/-, 3600/- & 1800/- at X, Y & Z class cities respectively. The rates of HRA will be revised to 27% 18% & 9% for X, Y & Z class cities respectively when Dearness Allowance (DA) crosses 25% and further revised to 30%, 20% & 10% when DA crosses 50%. [Click to Read More..]
Existing DA 38% + Additional DA 4% = Increase in DA 42%
Government of India, Department of Expenditure has released the January 2023 DA order on 3rd April 2023, for all Central Govt Employees w.e.f. 01.01.2023. Dearness Allowance payable to Central Government employees shall be enhanced from the existing rate of 38% to 42% of the Basic Pay with effect from 1st January, 2023.
Latest AICPIN for the Month of March 2023 – Labour Bureau Press Release
The Labour Bureau of All India Consumer Price Index Number for the month of March 2023 has been released on 28-04-2023. The All-India CPI-IW for March, 2023 increased by 0.6 points and stood at 133.3 (one hundred thirty three point three).
According to the latest release of AICPIN for March 2023, DA will be expected to the rate of 45% for central government employees and pensioners from July 2023 onwards. [AICPIN March 2023 Press Release PDF]
No. 1/1/2023-E-II (B)
Government of India
Ministry of Finance
Department of Expenditure
North Block, New Delhi
Dated the 3rd April, 2023.
OFFICE MEMORANDUM
Subject: Revision of rates of Dearness Allowance to Central Government employees effective from 01.01.2023.
The undersigned is directed to refer to this Ministry’s Office Memorandum No. 1/3/2022-E-II(B) dated 3rd October, 2022 on the subject mentioned above and to say that the President is pleased to decide that the Dearness Allowance payable to Central Government employees shall be enhanced from the existing rate of 38% to 42% of the Basic Pay with effect from 1st January, 2023.
2. The term ‘Basic Pay’ in the revised pay structure means the pay drawn in the prescribed Level in the Pay Matrix as per 7th CPC recommendations accepted by the Government, but does not include any other type of pay like special pay, etc.
3. The Dearness Allowance will continue to be a distinct element of remuneration and will not be treated as pay within the ambit of FR 9(21).
4. The payment on account of Dearness Allowance involving fractions of 50 paise and above may be rounded to the next higher rupee and the fractions of less than 50. paise may be ignored.
5. These orders shall also apply to the civilian employees paid from the Defence Services Estimates and the expenditure will be chargeable to the relevant head of the Defence Services Estimates. In respect of Armed Forces personnel and Railway employees, separate orders will be issued by the Ministry of Defence and Ministry of Railways respectively.
6. In so far as the persons serving in the Indian Audit and Accounts Department are concerned, these orders are issued in consultation with the Comptroller and Auditor General of India, as mandated under Article 148(5) of the Constitution of India.
(B. K. Manthan)
Deputy Secretary to the Government of India
Central Govt Employees DA Order January 2023 PDF Download
What is the Current DA from January 2023 for Central Government Employees?
The Current DA is 42% for Central Government Employees from 01.01.2023.
How to Calculate Dearness Allowance for Central Govt Employees?
The Dearness Allowance is calculated by multiplying the current rate of dearness allowance by the base salary of the central govt employee. For Example Basic Salary Rs. 18,000 x 42% = Rs. 7,560.
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