Whether D.A for Central employees will reach 50% on 1st January 2024?

After the release of another installment of D.A. from 1st July 2023, speculation and calculation started for the possible increase from 1st January next year. This time it is of immense importance as if D.A. touches 50% mark, HRA of Govt. employees will increase by another 3% in addition.

The All-India CPI-IW for September 2023 decreased by 1.7 points and stood at 137.5 (one hundred thirty-seven point five), as per the press release by the Labour Bureau on 31st October 2023. Expected DA/DR from January 2024 is accounted for in the 3rd step with this release. This decline in the CPI-IW Index still results in a 4% increase in DA/DR from January 2024 for Central Government Employees and Pensioners, reaching 50% in the 7th CPC DA/DR. The CPI-IW index in the coming months will confirm the exact figure of DA/DR for January 2024.

As per the statistics available, even if the index stands at the current level of 138.5, possible increase of D.A. will be 50.36% which will result a 4% hike.

For final calculation we will have to wait for release of CPI-IW number of October, November and December 2023.