DA is meant for government or multi location companies?

While defining our company salary structure, we have not made a coloum for dearness allowance.
I remember clearly reading about 2 decades ago , that DA is meant for government or multi location companies because they don't change salary structure every year and they have many many employment/ posting locations.
Are we correct in defining our salary structure?
Meghnad Shah
Managing Director
Frontline Electronics Ltd
Pune and Bengaluru

Dear MR Shah,
While defining the salary structure, two major points need to be considered. First, the salary structure should not be less than the Minimum Wages (as per applicable law/s on the establishment). Secondly it should be cost optimized, taxation friendly and max. in hand salary.
The DA is applicable in private sector jobs as well. In some states the DA is compulsory part of the MW structure. In Karnataka and Maharashtra (in your case) it is applicable. So you should include the DA in your Salary Structure.
Hope I am clear to you, if you have any specific query related to forming salary structure (keeping in view taxation, statutory compliance/s, maximized In Hand Salary), pls share with detailed data, so that fellow members can share their views.