DA and DR from July to Dec 2015 – Cabinet Committee may approve tomorrow

DA and DR from July to Dec 2015 – Cabinet Committee may approve tomorrow

As per media news, the Cabinet committee in its meeting tomorrow is likely to approve an additional Dearness Allowance for Central Government employees due from July 2015.

The second installment of this year, from July to December 2015, an additional DA is finalized hike by 6% as per the calculations recommended by 6th CPC. Now the Central Government employees and pensioners are getting 113% DA and DR, after the declaration by the Cabinet Committee on DA, it will become 119%.

6 months of the All India Consumer Price Index (CPI-IW) from Jan to Jun 2015 is the key points to calculate DA and DR from July 2015, the below table describes the calculation clearly…

Bank Holidays Hit Central Employees To Get Salary

Bank Holidays Hit Central Employees To Get Salary

New Delhi: Central government employees are in for a rude shock as the new financial year begins on April 1. Their salaries for March is likely to be delayed by a week as Public sector banks will be closed from today to April 3, followed by the weekend, in many parts of the country.

A government employee said, “Every month our salary gets credited to our bank account up to the last working day of that month except March. March salary is passed by DDO on the first working day of April from new budget, salary of March gets credited to our accounts on April 2 due to the annual closing of Banks on April 1.”

“This year , on April 2, the banks will remain shut because of Mahavir Jayanti, followed by the holiday for Good Friday on April 3. The next day being a Saturday, an off day for central government employees.The banks will be closed the next day, on April 5, because it’s a Sunday. Accordingly, central government employees are likely to get salary of the March’ 2015 only on April 6 or 7,” he added.

However, these holidays differ from one State to the other, and not all will have consecutive holidays.

Information posted on the website of the Indian Banks’ Association says Tamil Nadu, Karnataka, Maharashtra and Uttar Pradesh will have continuous holidays from April 1 to 3, while in other States, some banks will work on April 2 and some others on April 3.

It is interesting to note that the central government didn’t announce 6 per cent hike in Dearness Allowance (DA) payable to its employees and pensioners from January 1 this year as the revised Consumer Price Index-Industrial Workers data for December 2014 was released by Labour Ministry.

Read continue : www.tkbsen.in

Delay in Announcement of DA Hike from January 2015

Delay in Announcement of DA Hike from January 2015

Since the implementation of the recommendations of the 4th central pay commission in 1986, the announcement of approval and the order for granting Dearness Allowance to government employees were issued in March and September itself until it was violated once under UPA regime. In 2013, the approval for granting DA hike due from January 2013 was delayed inordinately. All the central government employees had waited patiently up to 31st March 2013. Even 1st and 2nd week of April 2013, there was no signs announcing the DA hike by the Central government. Then, the federations like AIRF and Confederation of central government employees and workers have raised objection over the inordinate delay of announcing DA. And they wrote letters to the Central Government to declare the Dearness Allowance immediately to avoid the confrontation.

While briefing the situation, the Confederation of central government employees and workers has mentioned in the editorial of their blog on 17th April 2013 that ‘This naturally is quiet disturbing, especially in the time of galloping price line. The employees have, in the past, fought bitterly for grant of DA and the 3rd CPC gave a definite formula for DA in the aftermath of the one day strike on 19th September 1968. We cannot allow the hard won DA to be tampered with.’

The next day, ie on 18th April 2013 the union cabinet approved the DA hike which is due from January 2013.

This time the NDA Government started repeating the same story in its first year itself. As we mentioned earlier the DA hike from July 2014 has been announced un expectedly on 4th September 2014. So there was huge expectation this time that the present government would not make any delay in announcing the Payment dearness allowance from January 2015. But it seems that the government finds no time to take any decision over the issue of 50 Lakh Central government employees and Pensioners. Whether the central government expects the federations to plead for announcing DA hike? Or it really has no time to decide on this issue?

However, yesterday the Ministry of Finance issued a clarification dated 1st March 2015, in which it has been clarified that a fake order for payment of Dearness Allowance was being circulated in Government Departments/offices and all Ministries/Departments and Central Government offices were advised not to take cognisance of these fake instructions being circulated in Government offices.

To avoid confusion and frustration among central government employees, it is expected that the central government should announce its approval for Payment of Dearness Allowance from January 2015 immediately.

Source: www.gservants.com

Cabinet may approve 6% DA on Thursday

Cabinet may approve 6% DA on Thursday

The Union Cabinet approval for the 6% rise in the Dearness Allowance for the Central Government employees is expected to be announced on coming Thursday.

It is a well-known fact that every six months, the Central Government increases the Dearness allowance for its employees during the months of January and July. The increased amount is calculated on the price index (CPI IW BY 2001=100) of essential commodities. Rise in the Dearness allowance is being calculated on the basis of the changes in the prices of the essential commodities during the periods between January and June and the period between July and December.

But, it takes around three months since the release of the price index for the months of June and December to arrive at the calculation for the increase in the Dearness allowance. With the result that the increase due from the month of July is being given only from the month of October and the amount due from January is being given only from the month of April.

And, because of this situation, the amount due for the left-behind period of two months is to be settled as arrears. Practical problems arise in the calculation of the arrears amount and also problem arises in clarifying the doubts of the beneficiaries. Pensioners especially, are more tensed up over this procedure.

To avoid this situation, the price index during the periods from November to April and from May to October can be taken into account and the increase in the Dearness allowance calculated based on the information relevant to these periods. The amount can be disbursed from the months of January and July as per this calculation so that there’s no due as arrears.

We imaginatively tested this method to find out the result. It was found out that there was no tangible change in the increase amount if calculated on the basis of the price index obtained during the months of April and October.

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