Salary Hike For 48 Lakh Central Govt Employees Before Diwali? DA Can Increase If This Happens..
The Union government’s move may lead to an increment in salaries of central government employees before Diwali as they are planning to change the base year for the consumer price index for industrial workers (CPI-IW).
How Does This Benefit To The Employees?
A senior official of the Labor Ministry said, “The government is going to prepare a new Consumer Price Index for Industrial Workers. The base year may be 2016,”.
Further, the change in base year directly affects DA of the staffers.
Here, the consumer price index measures changes in the price level of a weighted average market basket of consumer goods and services purchased by households.
Further, CPI is a statistical estimate constructed using the prices of a sample of representative items whose prices are collected periodically.
With this decision, over 48 lakh central government employees will get the benefits.
Moving ahead, by tomorrow, the central government is likely to release the decisions in this regard.
Before this, the government had postponed the hike in the Dearness Allowance for central employees due to Covid-19 spread.
But now,with this move, central employees are entitled to the Dearness Allowance at the rate of 17 per cent.
Diwali Prepaid Cards For Central Government Employees
Apart from this, in a recent announcement, the government had gifted Diwali prepaid cards to the Central employees.
To employees benefit, this amount is totally interest free.
The prepaid card offers an interest free loan of Rs 10,000 to central government employees.
But, employees will have to return this amount in 10 installments of Rs 1,000 and can be spent till 31 March 2021.
The move was to stimulate consumer demand in the economy.
Prior to this, the government had increased DA of central government employees by 4% in March.
Although, in April, they decided to implement this change from June 2021 instead of April this year.