10 POINTS HIGHLIGHTS
1. Dearness Allowance (DA) is a cost-of-living adjustment, an increase made to the basic pay of government officials and public sector workers’ employees.
2. Dearness Allowance is calculated as a percentage of an Indian citizen's basic salary to mitigate the impact of inflation on people.
3. Government hikes DA twice a year.
4. Dearness Allowance was freezed from 01.01.2020 to 30.06.2021 by Government of India as a austerity measures during Covid-19
5. Formula for calculating DA is given below :
(Average of AICPIN for the past 12 months – Fitment Linking Factor) x 100
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Fitment Linking Factor
Example :
Avg AICPIN of past 12 months =
(301+301+301+302+302+301+307+307+309+312+314+316) /12 = 306.08
Then, DA = (Avg. AICPI - 261.4) *100 / 261.4 = 17%
6. But Consumer Price Index with base 2016=100, for the month of September 2020 is 118.1 can be converted to CPI with base 2001=100 as 118.1 X 2..88 = 340.13.
7. Like wise, consumer price index for the subsequent months are also to be calculated.
| DEARNESS ALLOWANCE (As per Pay 6th Pay Commission) | |||
|---|---|---|---|
| Effective Dates | Rate of DA | Govt. of India | Govt. of Odisha |
| 01.07.2016 | 132% | 34154 Dt.19.12.2016 | |
| 01.01.2016 | 125% | 13362 Dt.30.04.2016 | |
| 01.07.2015 | |||
| 01.01.2015 | |||
| 01.07.2014 | |||
| 01.01.2014 | |||
| 01.07.2013 | |||
| 01.01.2013 | |||
| 01.07.2012 | |||
| 01.01.2012 | |||
| 01.07.2011 | |||
| 01.01.2011 | |||
| 01.07.2010 | |||
| 01.01.2010 | |||
| 01.07.2009 | |||
| 01.01.2009 | |||
| 01.07.2008 | |||
| 01.01.2008 | |||
2 comments:
Very useful
Please upload ORSP rule 1981 as well as D.A rate from ORSP rule 1981 to calculate arrear salary.
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