How Does the DA Increase Affect Central Govt Employees Starting 1.7.2012?

Please see the attached circular on the above subject.

Thanks

New Discussion on Dearness Allowance Announcement

Since 2012, no one has used this form. I am starting a new discussion in this forum as follows:

Announcement and Calculation of Dearness Allowances by the Central Government

As everybody knows, D.A. is based on market strategies. Retail rates in the market are increasing day by day. Almost the ration budget of all consumers has been raised by about 50% for all families in the two years of Modi's Government, but the rate of increase in D.A. is decreasing. Whereas in earlier years, D.A. was raised by the Central Government by 10 to 12%, in the Modi Government, it decreased to 2% for July 2016. Though it has a minor effect on the private sector, it has significant effects on millions of employees of central and state governments.

Does anybody know the formulae for D.A. calculations by the earlier Government and the Modi Government?

Understanding the Changes in Dearness Allowance (DA) Calculation

I think that prior to January 2016, the rate of increase in DA was calculated based on the recommendations of the 6th Pay Commission, which was effective from January 2006. Now, the Government has merged the increase in DA up to January 2016 (approximately 125%) with the basic pay. Hence, there is now a lower percentage of Dearness Allowance as declared by the Government.

Further, I understand that the increase in DA is based on the increase in prices as observed by the appropriate Government during a specific period. It varies depending on the increase in prices during such a specific period as reported by the concerned agencies.

1. Sir, for the basis of calculations of DA, etc., you can download necessary literature/information from the relevant websites of the 6th and 7th Pay Commissions, orders issued by the Central Govt. Finance Ministry, etc., and also from Central Govt. Employees' News.

2. Do you feel that the present Modi Govt. has separate policies in respect of Central Govt. Employees compared to earlier Govts?