DA Calculation Sheet

NOTE!0101.2014.DA =========================================.7%Trending News : Confirmed 90% DA from July 2013 : AICPIN for the month of June 2013 New … List of Central Government Holidays during the year 2014.
?Cabinet may approve DA – ?Dearness Allowance hiked by … – ?7% hike in dearness …OK

Dear Mr.Puneet,
I also wish the same what you are wishing. The calculations do not take into consideration the wishes, it has to be based on the factual position. And the position is that for 10% rise, total cummulative increase/impact for next 6 months should be 40 and with increase of 1 point every month, the total impact shall be 21(6+5+4+3+2+1) and based on this assumption,DA increase shall be 8%. But yes, with increase of 2 points every month for next 6 months, DA increase wef 01.01.2014 shall be 10%.

NOTE!!!!========================================================>New Delhi: The government is likely to announce a hike in dearness allowance to 90 percent from existing 80 percent in September, benefiting about 50 lakh central employees and 30 lakh pensioners ahead of the festival season.

According to official sources, the preliminary assessment suggests that dearness allowance hike will be in the range of 10-11 percent and would be effective from July 1 this year.

He said the exact number could be calculated only when the revised all India Consumer Price Index for Industrial Workers (CPI-IW) for the month of June will be released on August 30.

According to the provisional data released by government on July 31, the retail inflation for factory workers for the month of June stood at 11.06 percent, higher than 10.68 percent in May this year.

As per the practise, the government uses CPI-IW data for past 12 month or a year to arrive at a number for the purpose of any DA hike. Thus, the retail inflation for industrial workers between July, 2012 to June 2013 would be used to take final call on the matter.

“It would be around 10 percent this time and would be announced in September,” Confederation of Central Government Employees Secretary General K K N Kutty told PTI.

“Besides, raising DA to 90 percent, the government should merge 50 percent of the allowance with the basic pay as was our demand. DA breached 50 percent benchmark long ago”, he said.

As per the practice, the DA is merged with basic pay when it breaches the 50 percent mark. DA merger helps employees as their other allowances are paid as a proportion of basic pay.

Kutty said, “This DA hike won’t help much as actual rise in the cost of living is 171 percent since January 1, 2011.”

There would be a double digit hike in DA after about three years. It was last in September, 2010 that the government had announced a hike of 10 percent to be given with effect from July 1, 2010.

DA was hiked to 80 percent from 72 percent in April, 2013, effective from January 1, this year.

even if acpin remains 231 till dec 2013 we will get 7% da from jan 2014,so we have a chance to get 10% da from jan 2014 becoz acpin till dec 2013 is not going to be constant let say every month growth of 1 point then surely we get da@ 10% from jan 2014…

10% DA wef Jan 2014 seems to be a remote possibility.
To me it appears, we may finally end up with 9%.

Now it is confirmed that DA w.e.f. 1.7.2013 is 10% i.e., 90%. It is expected that orders will be issued in the month of September, 2013.

As per the latest labour bureau indications, we are going to get not below 10% w.e.f. 1.1.2014, i.e., 100% DA for CG Employees and pensioners, if the inflation trend continues like this.

NOTE!!!!=====================================================>July DA 90% almost confirmed – AICPIN for May 2013 hiked by two more points
June 29, 2013 by admin Leave a Comment
July DA 90% almost confirmed – AICPIN for May 2013 hiked by two more points

Expected DA from July 2013 : AICPIN for the month of May 2013

Expected Dearness Allowance and Dearness Relief from July 2013 : Central Government employees and Pensioners will get one more installment of additional DA and DR from July 2013 will be 10%, as per the release of AICPIN for the month of May 2013. Though the requirement of one more month of AICPIN for June to finalise the enhancement of Dearness allowance, there is possible to get 90% Dearness allowance and Dearness Relief from July 2013. The calculation table describes the steps as under…
Month / Year B.Y. 2001=100 Total of
12 Months 12 Months
Average % Increase
over 115.763 App. DA DA %
Dec-12 219 2512 209.33 93.57 80.83 80
Jan-13 221 2535 211.25 95.49 82.49 82
Feb-13 223 2559 213.25 97.49 84.22 84
Mar-13 224 2582 215.17 99.41 85.87 85
Apr-13 226 2603 216.92 101.16 87.38 87
May-13 228 2625 218.75 102.99 88.97 88
Jun-13 Expected 90

Labour Bureau released the statistics number of Consumer Price Index for Industrial Workers (CPI-IW) for the month of May 2013 on its official portal , which is important factor to calculate additional DA and DR to CG employees and CG Pensioners and the same is reproduced here for your information…

Consumer Price Index for Industrial Workers (CPI-IW)-May, 2013

The All-India CPI-IW for May, 2013 rose by 2 points and pegged at 228 (two hundred and twenty eight). On 1-month percentage change, it increased by 0.88 per cent between April and May compared with 0.49 per cent between the same two months a year ago.

The largest upward contribution to the change in current index came from Food group which increased by 1.22 per cent, contributing 1.64 percentage points to the total change. At item level, Rice, Arhar Dal, Fish Fresh, Poultry (Chicken), Milk, Chillies Green, Garlic, Ginger, Tomato, Root & Green Vegetables, Tea Leaf, Tea (Readymade), Cigarette, Country Liquor, Electricity Charges, Medicine (Allopathic), Repair Charges, etc. are responsible for the rise in index. However, this was compensated by Petrol putting downward pressure on the index.

The year-on-year inflation measured by monthly CPI-IW stood at 10.68 per cent for May, 2013 as compared to 10.24 per cent for the previous month and 10.16 per cent during the corresponding month of the previous year. Similarly, the Food inflation stood at 13.24 per cent against 12.39 per cent of the previous month and 10.61 per cent during the corresponding month of the previous year.

At centre level, Chennai and Nagpur recorded the largest increase of 8 points each followed by Nasik (7 points) and Warrangal, Coonoor, Hubli Dharwar, Madurai and Tripura (6 points each). Among others, 5 points rise was registered in 2 centres, 4 points in 14 centres, 3 points in 6 centres, 2 points in 12 centres, and 1 point in 12 centres. On the contrary, a decline of 6 points was reported in Delhi, 5 points in Ghaziabad, 4 points in Srinagar, 3 points in 2 centres, 2 points in 2 centres and 1 point in 7 centres. Rest of the 10 centres’ indices remained stationary.

The indices of 38 centres are above All-India Index and other 38 centres’ indices are below national average. The index of Jabalpur and Haldia centres remained at par with all-India index.

The next index of CPI-IW for the month of June, 2013 will be released on Wednesday, 31 July, 2013. The same will also be available on the office website http://www.labourbureau.gov.in.

NOTE.02!!!==============================================>Expected Dearness Allowance from July 2013 – Govt likely to announce 10% DA hike next month

The government is likely to announce a hike in dearness allowance to 90 per cent from existing 80 per cent in September, benefiting about 50 lakh central employees and 30 lakh pensioners ahead of the festival season.

According to official sources, the preliminary assessment suggests that dearness allowance hike will be in the range of 10-11 per cent and would be effective from July 1 this year.

He said the exact number could be calculated only when the revised all India Consumer Price Index for Industrial Workers (CPI-IW) for the month of June will

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NOTE!!!!======================================================>Expected Dearness Allowance from July 2013 – Govt likely to announce 10% DA hike nextMONTH 2013.===============.10%OR=================.11.%?????????????????????????

NOTE!!!!====================================================>Expected Dearness Allowance from July 2013 – Govt likely to announce 10% DA hike next month
by igecorner, on August 4th, 2013

The government is likely to announce a hike in dearness allowance to 90 per cent from existing 80 per cent in September, benefiting about 50 lakh central employees and 30 lakh pensioners ahead of the festival season.

According to official sources, the preliminary assessment suggests that dearness allowance hike will be in the range of 10-11 per cent and would be effective from July 1 this year.

He said the exact number could be calculated only when the revised all India Consumer Price Index for Industrial Workers (CPI-IW) for the month of June will be released on August 30.

According to the provisional data released by government on July 31, the retail inflation for factory workers for the month of June stood at 11.06 per cent, higher than 10.68 per cent in May this year.

As per the practise, the government uses CPI-IW data for past 12 month or a year to arrive at a number for the purpose of any DA hike. Thus, the retail inflation for industrial workers between July, 2012 to June 2013 would be used to take final call on the matter.

“It would be around 10 per cent this time and would be announced in September,” Confederation of Central Government Employees Secretary General K K N Kutty told PTI.

“Besides, raising DA to 90 per cent, the government should merge 50 per cent of the allowance with the basic pay as was our demand. DA breached 50 per cent benchmark long ago”, he said.

As per the practise, the DA is merged with basic pay when it breaches the 50 per cent mark. DA merger helps employees as their other allowances are paid as a proportion of basic pay.

Kutty said, “This DA hike won’t help much as actual rise in the cost of living is 171 per cent since January 1, 2011.”

There would be a double digit hike in DA after about three years. It was last in September, 2010 that the government had announced a hike of 10 per cent to be given with effect from July 1, 2010.

DA was hiked to 80 per cent from 72 per cent in April, 2013, effective from January 1, this year.

NOTE!======================================>Expected DA from July 2013 is 90% – Consumer Price Index (Industrial Workers) for the month of April 2013 released – 2 Point increase in CPI (IW)

Expected DA from July 2013 – Ministry of Labour and Employment has released AICPI (IW) – All India Consumer Price Index (Industrial Workers) for the month of April 2013. This index gains significance as far as central government employees and pensioners are concerned as determination of Dearness Allowance twice in a year is based on AICPI (IW).

All India Consumer Price Index for the period from July 2012 to June 2013 will be required to calculate expected DA from July 2013, for Central Government Employees and Pensioners
AICPI (IW) for the period from July 2013 to April 2013Month AICPI-IW
Jul 2012 212
Aug 2012 214
Sep 2012 215
Oct 2012 217
Nov 2012 218
Dec 2012 219
Jan 2013 221
Feb 2013 223
Mar 2013 224
Apr 2013 226
May 2013 To be released in the month June 2013
Jun 2013 To be released in the month July 2013

Two Scenarios on the progression of AICPI (IW) Scenario 1 (AICPI for May and June 2013 assumed to be same) Scenario 2 (AICPI for May and June 2013 assumed to be 231 and 234)
Month AICPI-IW AICPI-IW
Jul 2012 212 212
Aug 2012 214 214
Sep 2012 215 215
Oct 2012 217 217
Nov 2012 218 218
Dec 2012 219 219
Jan 2013 221 221
Feb 2013 223 223
Mar 2013 224 224
Apr 2013 226 226
May 2013 (expected) 226 231
Jun 2013 (expected) 226 234
Expected DA 90% 91%

Scenario 1:

If we assume that AICPI (IW) for May and June 2013 will be same viz., 226 for the months of May 2013 and June 2013 the expected DA for the Central Government Employees and pensioners will be 90%, which is 10% more than the present 80%
Scenario 2:

In the case of more inflation and if we assume that AICPI (IW) for May 2013 and June 2013, will be 231 and 234 respectively then only Central Government employees and pensioners will be to get 1% more increase in DA than the 10% increase of DA we get in Scenario 1. The minimum assumed values for AICPI (IW) for May 2013 and June 2013 will be 231 and 234 respectively which would give DA increase of 11% more than the existing DA of 80%s viz., Dearness allowance for central government Employees and pensioners
Chances of Scenario 1 coming to reality is More

Chances of Scenario 1 coming to reality are more, since 4 point increase for the months of May 2013 and June 2013 may not possible which is considered for estimating DA in Scenario 2. So we can expect that Dearness Allowance from July 2013 will be 90%.

Click here to read more on Expected DA from July 2013

Please note that actual increase of DA from July 2013 will be known only after the formal announcement of the same by Government in the month of October 2013.

Prakash Jagityal garu
a.p state employees in p.r.c.
in p.r.c time d.a ration is not 0.856
more than that
plz verify sir and reply to me that what the correct ratio sir
than k u sir

As per the AICPIN release from Jan 13 to Jun 13, calculation of DA is worked out to increase @ 11% wef 01/07/13 the minimum. However, the official announcement of 10% increase in DA could be acceptable by the Central Govt employees keeping in view the existing funds availability in Govt budget and disaster help to States.

Krishna garu…….DA calculation method to AP employees is as follows…..1% to central is equal to 0.856 to AP state .As such AP employees can expect enhancement of DA 8.56% as on 1.7.13.

da will be increase 10% july 2013.it is so enough as could be.

prakash jagityal sir
a.p state employees get between 10-18% from july-13
bcoz they r in prc

Madam/Sir,

Thanks for publishing the AICPIN and DA eligibility w.e.f. 01/07/2013, promptly.
Keep it up always.

Increase of DA/DR to A.P.state Govt employees/pensioners from 1.7.2013 would be 8.56% as the increase to central Govt employees is 10%

JUNE AICPIN-IW IS 90.62

it is officially confirmed now that central government employees get 10% da from july 2013