Dearness Allowance goes up 50% by January 2011....what next..?

Saturday, October 23, 2010


Dearness Allowance : ‘King’ of all allowances…!

The central government disburses different types of allowances to their employees. Allowances are given for different reasons :-

DA is given for rise in prices of essential commodities…

CEA is for Children’s education…

HRA for accommodation in rented houses…

FPA for family planning operation for maintaining small family and so on…

An individual may not be granted all the allowances. The disbursement of allowances has some limitations – due to different situations…

For example,
Those who gets a pay below Rs.7440, the Transport Allowance will be Rs.600+DA,
those who are above Rs.7440, the TA will be Rs.1600+DA,
and those who gets a grade pay Rs.5400 and above the TA will be Rs.3200+DA…

Those employees who are married and has two school going children, they are eligible to get Rs.12000 per year as Children Education Allowance…

HRA is given as per city grade specifications as 30%, 20%, 10%, but we all know that DA is given to all Central Government Employees evenly as per their basic pay. So this stands apart…

Moreover, when the DA goes up 50%, it gives some pushups to Compensatory Allowances such as – Increases of 25% in
Children Education Allowance,
Child Care Allowance,
Washing Allowance,
Cycle Allowance,
Cash Handling Allowance,
Conveyance Allowance,
Split Duty Allowance will also be increased.

It also boosts up some advances namely –
Flood Advance,
Festival Advance will be increased by 25%, when the DA goes up 50% as per recommendations in the 6th CPC report.

So to conclude, we can use the term ‘King’ for the Dearness Allowance.

CG Staff News


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