The government of Prime Minister Narendra Modi is going to gift the central employees before Holi. If the dearness allowance of central employees will increase to 34 per cent, then their basic salary will be double. The government may announce a 3 per cent increase in dearness allowance. 1.08 crore employees and pensioners will get its benefit.
As per the media reports, there is going to be a bumper increase in the salary as well. Actually, the figures for the AICPI index of November 2021 says that the index has reached 125.7. Its effect will be that in January 2022, there will be at least 3 per cent increase in dearness allowance (DA Hike) of central government employees. Right now they are getting 31 per cent dearness allowance, which will increase to 34 per cent.
The central government can also consider the employees three-year-old demand of fitment factor (7th Pay Commission Fitment Factor). If it is decided to increase DA and fitment factor, then there will be a big increase in salary. At present, the fitment factor is fixed at 2.57. Central employees are demanding to increase it to 3.68.
Dearness allowance of central employees has been increased by 3 per cent. Due to this there will be an increase of Rs. 540 per month in the Dearness Allowance of the Central Employees of Level 1. Their TA will also increase.
On the fitment factor, if the government accepts the advice of central employees' organisations, then the minimum basic salary will be Rs. 26,000. Suppose the basic salary of an employee is Rs. 18,000, the salary excluding allowances will be 18,000 × 2.57; i.e., Rs. 46,260. If its assume to be 3.68, then the salary of the employee will reach 26000 × 3.68; i.e., Rs. 95,680, which is, 100 percent increase in salary. This calculation has been done on the basis of minimum wage. There will be a big increase in the salary of the maximum wage earners.