DA/DR from January, 2020 – Expected to increase 4% from 17% to 21%

DA/DR from January, 2020 – Expected to increase 4% from 17% to 21% and 9% increase in 6th CPC DA

All India Consumer Price (Industrial Workers) Index Number [CPI(IW)] for October, 2019 has released by Labour Bureau. CPI-IW for October, 2019 increased by 3 points and pegged at 325 (three hundred twenty five). And with this increase in AICPIN the Central Govt. Employees and Pensioners are expected to get 4% increase in Dearness Allowance/Relief with effect from January, 2020 in 7th CPC Pay structure thus the existing rate of 17% expected to be 21% from January, 2020. On the other hand employees who are drawing their pay in pre-revised 6th CPC pay structure will get 9% increase in Dearness Allowance w.e.f. January, 2020 at the rate of 173%, which is currently 164%.

Detail calculation of DA from January, 2020 to be 21% in 7th CPC & 173% in 6th CPC pay structure with AICPIN of October-2019 is furnished in undermentioned table. Following 4 scenarios are illustrated in the calculation table:-

1st Scenario – Minimum 4 points cumulative decrease from November & December, 2019 ACPIN will decrease the expectation of January, 2020 DA/DR to 20%.

2nd Scenario – Expectation in no change in November & December, 2019 ACPIN is confirming January, 2020 DA/DR to be 21%

3rd Scenario – From a minimum 12 points cumulative increase from November & December, 2019 ACPIN the expectation of 6th CPC January, 2020 DA is increasing to 174%

4th Scenario – A minimum 18 points cumulative increase from November & December, 2019 ACPIN will required to increase the expectation of DA/DR from January, 2020 from 21% to 22%