Central government employees can expect some major announcements from the central government after Holi 2023. The 7th pay commission might announce its decision regarding the fitment factor, dearness allowance (DA) hike, and salary revisions.
Recently, the central government also updated the house rent allowance or the (HRA) rule for central employees under the recommendations of the 7th pay commission.
Updates Regarding Salary Revision:
According to reports, the government might announce a new formula for salary revision, seeing that only one year is left before the formation of the 8th pay commission. It is expected that this might happen after Holi 2023.
Updates Regarding Fitment Factor:
Media sources report that the base salary of central government employees will likely increase after Holi 2023 as the government might finally take a decision on the pending fitment factor hike. Media sources also suggest that the basic salary of government employees will also be hiked to Rs 26,000 from Rs 18,000 after the fitment factor hike.
Government employees receive their salaries on the basis of the fitment factor and currently, the fitment factor is at 2.57 percent. However, government employees are demanding for the fitment factor be raised to 3.68 percent.
Updates on DA Hike:
Reports suggest that the central government might also increase the dearness allowance (DA) of government employees in March 2023, effective January 1. The central government hiked the DA in September last year by 4 percent, hence hiking the DA from 34 percent to 38 percent. This March, the government might hike the DA by 4 % as well.
There is a chance that the government might also hike the dearness pension (DR) of the pensioners. The government is expected to make an announcement on all of the abovementioned topics after Holi 2023.
