Central Government Employees’ DA increased to 42% from 1.1. 2023 PDF

The Indian Ministry of Finance has announced an increase in the Dearness Allowance (DA) rates for Central Government employees, effective from January 1, 2023. The DA rate has been raised to 42% of the Basic Pay, which refers to the pay drawn in the prescribed level in the Pay Matrix as per 7th CPC recommendations accepted by the Government. The Dearness Allowance will continue to be treated as a separate element of remuneration and not as pay. The new orders are also applicable to civilian employees paid from the Defense Services Estimates, while separate orders will be issued for Armed Forces personnel and Railway employees. If the payment involves fractions of 50 paise and above, it may be rounded to the next higher rupee, while fractions less than 50 paise may be ignored.

Dearness Allowance Enhanced to 42% for CG Employees from 01.01.2023

No. 1/1/2023-E-II (B)
Government of India
Ministry of Finance
Department of Expenditure

North Block, New Delhi
Dated the 3rd April, 2023.

OFFICE MEMORANDUM

Subject: Revision of rates of Dearness Allowance to Central Government employees effective from 01.01.2023.
The undersigned is directed to refer to this Ministry’s Office Memorandum No. 1/3/2022-E-II(B) dated 3™ October, 2022 on the subject mentioned above and to say that the President is pleased to decide that the Dearness Allowance payable to Central Government employees shall be enhanced from the existing rate of 38% to 42% of the Basic Pay with effect from 1st January, 2023.

• The term ‘Basic Pay’ in the revised pay structure means the pay drawn in the prescribed Level in the Pay Matrix as per 7th CPC recommendations accepted by the Government, but does not include any other type of pay like special pay, etc.

3. The Dearness Allowance will continue to be a distinct element of remuneration and will not be treated as pay within the ambit of FR 9(21).
4. The payment on account of Dearness Allowance involving fractions of 50 paise and above may be rounded to the next higher rupee and the fractions of less than 50. paise may be ignored.
5. These orders shall also apply to the civilian employees paid from the Defence Services Estimates and the expenditure will be chargeable to the relevant head of the Defence Services Estimates. In respect of Armed Forces personnel and Railway employees, separate orders will be issued by the Ministry of Defence and Ministry of Railways respectively.
6. In so far as the persons serving in the Indian Audit and Accounts Department are concerned, these orders are issued in consultation with the Comptroller and Auditor General of India, as mandated under Article 148(5) of the Constitution of India.

(B. K. Manthan)
Deputy Secretary to the Government of India

Source: doe.gov.in