DA Increase: Government’s Decision on Dearness Allowance

Government’s decision on DA, 4% increase, salary increase with effect from February.

The decision of government of increasing the dearness allowance for its central government employees is likely to be taken in March 2023.

The central employees are eagerly waiting for the decision on first half of dearness allowance this year. Dearness Allowance of state government employees of Madhya Pradesh is likely to be increased by four percent. The government has issued an order to increase the rate of dearness allowance to a total of 38 percent with effect from January 1,2023. Payment will be done from the month of February 2023.

Central Employees Allowance:

Madhya Pradesh government has issued instructions that the expenditure on payment of DA should not be more than the provision of the approved budget of the department for the current financial year.

What is Dearness Allowance?

Dearness Allowance is termed as the cost of living adjustment allowance paid to employees so that they can maintain their purchasing power and standard of living in these times of rising cost of living.

Dearness Allowance is given to government employees, public sector employees and to some employees of private sector. It is calculated as the percentage of the employees basic salary which is reviewed every six months based on economic indicators.

What Is Dearness Allowance Calculator?

Dearness Allowance calculator is a tool used to calculate the DA rate for a month. CPI data and other relevant information like type of job location is used to calculate the approximate estimate of the DA rate. Employees are requested to check with the employer or government agencies for updated DA rates.