Calculation of DA from January 2017 installment

Calculation of DA from January 2017 Installment

On 30th September 2016, The AICPIN for the month of August will be released. With this, 8 Months AICPIN will be available to calculate the DA from January 2017 approximately. However, we need 12 Months CPI Numbers starting from January 2016 to December 2016 to arrive exact rate of DA from January 2017.

So far the Government hasn’t come forward to announce the method of Calculation of DA for 7th CPC. The 7th Pay Commission stated in its recommendations that the same methodology of 6th CPC can be continued for 7th CPC also to calculate the Dearness Allowance.

But after neutralizing Dearness Allowance to arrive the revised pay, the Base Index of AICPIN for calculation of DA to be modified for 7th Pay Commission. But it has not been announced officially by labour Bureau or Ministry of Finance yet.

So the Dearness Allowance calculations stands unmodified. Because of that there was a delay in announcing July DA. After announcement, the calculation will be known to everyone. Accordingly, the DA from January 2017 can be calculated.