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Payment of Dearness Allowance to central Government employees – Revised rates effective from 1.7.2011.
NO. 1(14)/2011-E-II(B)
Government of India
Ministry of Finance
Department of Expenditure
New Delhi, the 3rd October, 2011.
Office Memorandum
Subject: Payment of Dearness Allowance to central Government employees – Revised rates effective from 1.7.2011.
The undersigned is directed to refer to this Ministry’s Office Memorandum No. 1 (2)/2011-E-II(B) dated 24th March,2011 on the subject mentioned above and to say that the President is pleased to decide that the Dearness Allowance payable to Central Government employees shall be enhanced from the existing rate of 51% to 58% with effect from 1st July, 2011.
The provisions contained in paras 3, 4 and 5 of this Ministry’s O.M. No. 1 (3)/2008-E-II(B) dated 29th August, 2008 shall continue to be applicable while regulating Dearness Allowance under these orders.
The additional installment of Dearness Allowance payable under these orders shall be paid in cash to all Central Government employees.
These orders shall also apply to the civilian employees paid from the Defence Services Estimates and the expenditure will be chargeable to the relevant head of the Defence Services Estimates. In regard to Armed Forces personnel and Railway employees separate orders will be issued by the Ministry of Defence and Ministry of Railways,respectively.
In so far as the persons serving in the Indian Audit and Accounts Department are concerned, these orders issue after consultation with the Comptroller and Auditor General of India.
sd/-
(Anil. Sharma)
Under Secretary to the Government of India
Download The DA Order from July 2011 Below
DA Hike for July 2011
Central government has hiked the dearness allowance (DA) by a minimum of 7 per cent, benefiting over 50 lakh central government employees and 38 lakh pensioners.
The hike will be applicable from July 1, 2011.
Dearness allowance is revised twice a year, on January 1 and July 1. The relief comes on the back of high retail prices, as inflation has constantly been above the 9 per cent mark.
Headline inflation, based on movement in wholesale prices, was 9.78 per cent in August, much above the comfort level of 5-6 per cent. Food inflation, too, was close to 9.5 per cent for the week ending September 03.
Now the Current DA rate is 58%.
From PIB
Release of additional installment of Dearness Allowance to Central Government employees and Dearness Relief to pensioners.
The Union Cabinet today approved release of additional installment of Dearness Allowance to Central Government employees and Dearness Relief to pensioners as due from 01.07.2011 at the rate of 7 per cent over the existing rate of 51 per cent.
The total financial implications on account of both Dearness Allowance and Dearness Relief would be Rs.7228.76 crore per annum and Rs.4819.22 crore in the current financial year.
What will be the New Dearness Allowance Rate w.e.f July 2011 ?
It is expected that at-least 7% increase will be there in DA from July 2011.
Present DA Rate
There was an increase of 6% DA from 1st January 2011 and the Current DA rate is 51%.
Which Factors will Decide the DA Increase ?
The Dearness Rate is calculated on the basis of AICPIN.
AICPIN for the month of January – 188
AICPIN for the Month of February – 185
The final picture will come only after the release of AICPIN for the month of June 2010.
State/UT wise Group and General Consumer Price Indices for rural areas (Base 2010=100)
What should be the New DA from the Month of July 2011 ?
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