50%
DA MERGER – Impact
of Merger of 50% Dearness Allowance with Basic Pay
Any
possible to convert 50% of dearness allowance to dearness pay..!
Everyone’s
pointing fingers at “Parliament Election”…!
50% DA MERGER
50% of dearness allowance had been merged with basic pay for
Central Government Employees and Pensioners with effect from 1.4.2004. This was
followed the recommendation of 5th Central Pay Commission and the Union
Government had decided to merge 50% of dearness allowance with basic pay and
issued orders on 1.3.2004. (61% – 50% = 11%) 50% of dearness allowance merged
with basic pay and remaining 11% had been issued as normal dearness allowance
with effect from 1.1.2004.
Example : An employee’s Basic Pay had revised as under on
1.1.2004 after 50 % DA merged with basic pay…
|
Basic Pay
|
Dearness allowance 61%
|
Total
|
Basic Pay
|
Dearness Pay
|
Remaining percentage of Dearness allowance 11%
|
Total
|
Difference
|
|
4000
|
2440
|
6440
|
4000
|
2000
|
660
|
6660
|
220
|
[And the next instalment of additional dearness allowance from
1.7.2004 declared as 3%, then the total dearness allowance went up to 14%. When
implementation of 6th CPC, the above employee's basic pay was 4200 as on
1.1.2006, it just multiply with 1.86 and add with corresponding grade pay.]
Everybody thinking as more benefit on 50% of DA merge with basic
pay…not like that..!
It is essential to CG Employees, of course for others, getting
from some other way in hike in regular income…
For Example, an employee’s basic pay Rs.10000 as on 1.1.2011,
after merging of 50% dearness allowance the calculation is clearly shows the
difference only 50 rupees per month…
|
Basic Pay
|
Dearness allowance 51%
|
Total
|
Basic Pay
|
Dearness Pay
|
Remaining percentage of DA 1%
|
Total
|
Difference
|
|
10,000
|
5100
|
15100
|
10000
|
5000
|
150
|
15150
|
50
|
“Note that the 50% of Dearness allowance will not merged with
basic pay, instead of the amount showing only as ‘Dearness Pay’. This amount
will pay upto only the date of implementation of 7th pay commission.
This is only as a advance hike for all employees before the
implementation of 7th CPC.
When fixation of pay on the recommendations of 7th CPC on
1.1.2016 according to the revised pay rules, the amount of ‘basic pay’ will be
taken without dearness pay.
For example, approximately basic pay of the above employee will
be 12,250 as on 1.1.2016 . This amount only will be taken as Basic Pay for the
calculation of pay fixation against the amount of 18,375.
The enhanced amount will be given for us as ‘Interim Relief’ for
the period between announcement and implementation…It is not at all merged with
‘Basic Pay’..!
We can hear, what about hike in HRA and other entitlements…
The rate of HRA is provided according to the cities, like 10, 20
and 30%. Don’t think all Central Govt. Employees are getting 30%. And one more
important points is the percentage hike in HRA will not applicable to those who
are living in Government Quarters. In major metropolitan cities, thousands of
employees are residing with Government Accommodation. They will pay more as HRA
to Government and they don’t bother about increasing in HRA.
Transport Allowance is providing according to their GP and
classified cites, the amount is vary from 400 to 3200 plus DA thereon. The DA
amount may decrease when 50% of DA merged with basic pay.
So, ultimately hike in Basic pay only the factor is more
beneficial in DA Merger.
But in 6th CPC there was no recommendation to convert dearness
allowance as dearness pay each time the CPI increase by 50% over the base index
recommended in pay commission report.
All Central Government employees federations are showing maximum
effort to achieve the demand of “Merger of 50% Dearness Allowance with Basic
Pay” at this time.
Federations sources said, there will be chance to announce
before March…!
source-http://centralgovernmentemployeesnews.in/50-da-merger/
