Inflation and Pay Raises: Should the Lowest-Rated Employee Get a Minimum Increase?

Dear Seniors, Wishes! Please guide me:

Is it necessary to keep the inflation rate as a minimum percentage of increment?

For example, should the lowest-rated employee be given the minimum inflation rate, or can we choose any percentage of increment?

Thanks,
Learner & Contributor

Inflation and DA Component

The inflation is accounted for in the DA component as it is linked with the Consumer Price Index.

Increment Specification

As regards increment, it is specified as a defined amount or percentage of basic pay. Generally, the increment is decided during the long-term wage settlement.