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Home›Salary›7th salary commission salary: after DA hike, central government employees will be revised HRA

7th salary commission salary: after DA hike, central government employees will be revised HRA

By Ben Delgado
July 20, 2021
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New Delhi: Another good news for the central government employee since the Center has revised the rent allowance (HRA). The HRA has apparently been increased to 27 percent. The revised HRA will be provided to central government employees from August. This has come the central government increased DA for central government employees and DR for retirees, according to the ZEE News report.Also read – Howrah Bridge dazzles with Olympic colors

Latest News from 7th Commission on Wages, Salary, DA, DR, HRA hike update

  1. The HRA is considered an essential part of an employee’s salary. The HRA was increased because the DA was revised to more than 25 percent of base salary, according to the ZEE News report.
  2. In particular, the HRA amount differs from one city to another. Central government employees will get a revised HRA based on their city. The cities have been divided into three segments. These segments are X, Y, and Z, according to the Zee News report.
  3. Following the revision, the applicable HRA for city X will be revised to 27 percent of the base salary, for category Y will be 18 percent and for cities in category Z, the HRA will be 9 percent, depending on the Zee News report.
  4. Last week, the central government increased the Dearness Allowance (DA) to central government employees and the Dearness Relief (DR) to retirees from the rate from 17% to 28% of basic salary or pension with effect from July 1, 2021..
  5. About 48.34 lakh central government employees and 65.26 lakh retirees will directly benefit from the restoration of DA and DR, the finance ministry said.
  6. The combined impact on the board due to both the Dearness allowance and the Dearness relief would be in the range of Rs 34,401.84 crore per year and Rs 22,934.56 crore over the course of the year. ‘fiscal year 2021-22 (for a period of 08 months from July 2021 to February, 2022), according to the PTI report.

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