Will central government employees get the much-awaited festive gift of Dearness Allowance (DA) hike on Holi? The answer is most likely yes. Reports have increased regarding the announcement of DA hike and revision of fitment factor, which is set to happen soon.
As per the latest updates on the matter, the Centre could announce the round of DA hike for central government employees after the country has celebrated the festival of Holi on March 8, 2023. Fitment factor will also be revised along with DA hike.
DA hike details
The DA figure for central government employees currently stands at 38 percent. In all likeliness, the DA will be revised by 4 percent, taking the figure to 42 percent. The hike will be effective from January 2023.
Fitment factor revision
The fitment factor for central government employees currently stands at 2.57 percent, which was recommended by the 7th Pay Commission. The fitment factor earlier stood at 1.86 percent under the 6th Pay Commission guidelines. The fitment factor could now be increased to 3.68 percent, the figure that central employees are demanding. If the government agrees to this amount, the minimum wage may increase to Rs 26,000 from Rs 18,000, the Economic Times recently reported.
18-month DA arrear issue
It must be noted that the 18-month arrear demand of the central government employees is still unresolved and there is no new update on the front.