Government of India Announces Revision of Dearness Allowance (DA) Rates for Central Government Employees.
Download DA Order from Janaury 2024 in PDF
The Ministry of Finance, Government of India, recently issued an Office Memorandum (OM) on March 12th, 2024, regarding the revision of rates of Dearness Allowance (DA) for Central Government employees, effective from January 1st, 2024.
The OM, bearing reference No. 1/1/2024-E-II (B), highlights the decision of the President to enhance the rates of Dearness Allowance from 46% to 50% of the Basic Pay for Central Government employees. This increase is in line with the recommendations of the 7th Central Pay Commission (CPC) accepted by the Government.
Key Points from the Office Memorandum:
Effective Date: The revised Dearness Allowance rates come into effect from January 1st, 2024.
Definition of Basic Pay: Basic Pay, as per the revised pay structure, refers to the pay drawn in the prescribed Level in the Pay Matrix as recommended by the 7th CPC. This excludes any other forms of pay such as special pay.
Distinct Element of Remuneration: Dearness Allowance remains a separate element of remuneration and is not considered as part of the basic pay, in accordance with FR 9(21).
Rounding of Fractions: Payments involving fractions of 50 paise and above will be rounded to the next higher rupee, while fractions less than 50 paise will be ignored.
Arrears Payment: Arrears of Dearness Allowance will not be disbursed before the March 2024 salary disbursement date.
Applicability: The revised rates apply to civilian employees paid from the Defence Services Estimates. Separate orders will be issued for Armed Forces personnel and Railway employees by the Ministry of Defence and Ministry of Railways, respectively.
Consultation: The orders concerning the Indian Audit and Accounts Department have been issued in consultation with the Comptroller and Auditor General of India, as mandated under Article 148(5) of the Constitution of India.
This revision in Dearness Allowance rates reflects the Government's commitment to ensuring the welfare of Central Government employees and maintaining pace with economic fluctuations.
The Office Memorandum has been circulated to all Ministries/Departments of the Government of India and relevant authorities for necessary action, as per the standard distribution list.
This announcement comes as a relief to Central Government employees, providing them with increased financial assistance to cope with rising living expenses and inflation.
For further details and clarifications, concerned employees are advised to refer to the official Office Memorandum and directives issued by their respective departments.