EXPECTED DA W.E.F. 01-01-2011

Central Government employees received 10% DA in addition to 35% earlier,which now stands at 45%.They got the payment as two months arrears for July and August. DA for September was calculated in their regular monthly payments.Through this hike, employees got an increase of Rs700 to Rs900 in their monthly salaries. There was no such increase before this.Let us see some of the reasons.

The main reason behind announcing DA is due to increase of prices in essential commodities.’Labour Bureau’-which is under the Central Government takes the statistics of the prices of essential commodities in selected cities and this process is known as AICPIN -i.e.- All India Consumer Price Index. DA is calculated only as per the AICPIN.

Regarding next instalment of DA which is to be announced from Jan 2011,numerous speculations are pouring in. DA percentage will be calculated as per the AICPIN from September 2010 to December 2010.Suppose the AICPIN stands at 179 points or more,there are chances of getting 50% DA from Jan 2011.
Any way let us assume that the DA will surely cross the 50% which will enable increases in some allowances.
Children Education Allowance,Child Care Allowance,Washing Allowance,Cycle Allowance,Cash Handling Allowance,Conveyance Allowance,Split Duty Allowance will also be increased.

Source : All India Association of IPs/ASPs