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DA Hike: How much extra central govt employees will get after 3% hike in dearness allowance – check calculation here!


DA Hike news today: The Centre could announce a hike in the Dearness Allowance for employees and pensioners later this month. Annual hike in inflation-linked allowance will result in an increase in wages for central government employees and pensioners.

Zee Business tells you the math or calculation behind how much minimum hike a government employee would get annually in 2023.

The AICPI (All India Consumer Price Inflation) index – one of the key metrics to decide DA hike for central employees – comes on the last date of every month. The December 2022 AICPI numbers will come on January 31, 2023, which shall act as a decider on the DA hike for the central employees.

Also Read: DA Hike: Good news for central govt employees as clarity on Dearness Allowance rise for 2023 shall come on January 31

Employees get a DA hike twice every year. It is expected that there will be an increase of 3 per cent in DA this year in January 2023. Taking this into consideration, the total hike in dearness allowance of central employees will reach 41 per cent in 2023.

At present, the central employees get 38 per cent as dearness allowance. It is also expected that there will be a big jump in the salary of central government employees post the announcement of the dearness allowance in 2023.

The government had on September 28 last year announced to hike DA from 34 per cent to 38 per cent. The hike was applicable from July 1.

Also Read: DA hike news: 12% salary increase for government employees of THIS state | New Year 2023 Gift

Minimum salary bracket: How much salary will rise with 3% DA hike?

As per the 7th Pay Commission metrics, the basic salary range of central employees at level 3 is in the range of Rs 18,000 to Rs 56,900 per month.

Calculation at 41% DA

1. Basic salary of the employee Rs 18,000

2. Estimated DA Hike (41%) Rs 7,380/month

3. Current DA (38%) Rs 6,840/month

4. DA increased to 7380 – 6,840 = Rs 900/month

5 Increase in annual salary 900X12 = Rs 10,800

This means that the salary of every employee drawing a basic salary of Rs 18,000 per cent will get an additional Rs 900 per month with DA Hike in 2023. On annual basis, it will be at Rs 6480.

Also Read: DA Hike: BIG! Government raises Dearness Allowance of Central Government employees by 4% to 38%

Maximum salary bracket: How much will it increase after a 3% DA hike?

Calculation at 41% DA

1. Basic salary of the employee Rs 56,900

2. Estimated Dearness Allowance (41%) Rs 23,329/month

3. Dearness Allowance till now (38%) Rs 21,622/month

4. How much Dearness Allowance increased 23,329-21,622= Rs 1,707/month

5. Increase in annual salary 1,707X12 = Rs 20,484

The employees that fall under the maximum basic salary bracket of Level-3 will get by Rs 1707 every month after a 3 per cent DA hike, this will translate to Rs 20,484 rise on annual basis in their salary.





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