Friday, August 22, 2008

Dearness Allowance - Sixth pay Commission

Sixth Pay Commission Recommendations and its affect on Dearness Allowance. Major Points of the Recommendations are using AICPI as the index for calculating DA, DA and basic Pay should not be merged.

Following are the Points relating to Dearness Allowance (DA) for Sixth Pay Commission

  • The All India Consumer Price Index (AICPI) (IW) will continue to be the index used for calculating DA for Government employees.
  • DA will continue to be sanctioned twice a year as on 1st January and 1st July payable with the salary of March and September, respectively.
  • Merger of dearness allowance with basic pay is not recommended.

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