Expected DA (Dearness Allowance) from July 2013 to central government employees
Since the implementation of 6CPC from 1-1-2006, the consumer price index number for industrial worker is not coming down ever but it is increasing month by month. Similarly the rate of dearness allowance paid to central government employees also increasing at the interval of every six months period. The rate of dearness allowance was at zero level on 01-01-2006. After six years from implementation of 6CPC, now the dearness allowance stands at 80% level. The average increase in the dearness allowance is at the rate of 13% per year. Actually there is nothing to rejoice over the increase of dearness allowance. The Dearness allowance is nothing but the reflection of consumer price index.
Likewise the consumer price index is determined by increase in the prices of basket of identified essential commodities. The increase of CPI number is not good any way for either the government employees or common people. Whatever the money the central government employees are supposed to get from the dearness allowance hike will be swallowed by the essential commodities for which they have to spend every month, since the prices of all the essential commodities are increasing at the alarming rate.
The formula for calculating dearness allowance is:( Avg of AICPI for the past 12 months – 115.76)*100/115.76
If we apply this in the formula given above the answer is = 90.120