Expected DA-DR from Jul-2016 in 7th CPC vis-a-vis 6th CPC:

The expectation of future Dearness Allowance for Central Government Employees and Dearness Relief for Pensioners from the month of July, 2016 is on air after the releasing of January, 2016 All Indian Consumer Price (Industrial Workers) Index Number (AICPIN) by the Labour Bureau.  The All-India CPI-IW for January, 2016 remained stationary at 269 (two hundred and sixty nine).

It is the starting phase of the calculation of expected DA/DR from the month of July, 2016.


 It also mentioned that the in DA/DR from Jan, 2016, which is calculated to be 125% with 6% increase is yet to be announced by the Govt. and on other hand it is already included in Fitment Formula of new pay matrix introduced by Seventh Pay Commission to be implemented from 1st Jan, 2016.

The question whether the increase in 6th CPC DA/DR from Jan, 2016 will announced by Govt or the new pay/pension structure with zero percent DA/DR from Jan, 2016 will be implemented from 1st April, 2016, the future will tell this.  

The table of  Expected DA-DR from Jul-2016 in 7th CPC vis-a-vis 6th CPC is given below:-

Expectation	Increase/ Decrease Index	Month	Base Year  2001 = 100	Total of 12 Months	Twelve monthly Average	% increase over 115.76 for DA	DA  announced or will be announced in 6th CPC	DA rate as per 7th CPC Seventh CPC
DA July 2016	3	Jun,15	261	3053	254.42	119.78%	119%	---
DA/DR from Jan-2016 to be announced or be include in 7th CPC Pay Matrix	2	Jul,15	263	3064	255.33	120.57%	125%	0%
	1	Aug,15	264	3075	256.25	121.36%
	2	Sep,15	266	3088	257.33	122.30%
	3	Oct,15	269	3104	258.67	123.45%
	1	Nov,15	270	3121	260.08	124.67%
	-1	Dec,15	269	3137	261.42	125.83%
AICPIN Jan 16	0	Jan,16	269	3152	262.67	126.91%	131%	6%
Expectation.1- No increase in total ACPIN in next 5 months	0	Feb,16	269	3168	264.00	128.06%
	0	Mar,16	269	3183	265.25	129.14%
	0	Apr,16	269	3196	266.33	130.07%
	0	May,16	269	3207	267.25	130.87%
	0	Jun,16	269	3215	267.92	131.44%
	Expected DA/DR from July-2016
Expectation.2- 5 points increase in total ACPIN in next 5 months	1	Feb,16	270	3169	264.08	128.13%	132%	7%
	1	Mar,16	271	3186	265.50	129.35%
	1	Apr,16	272	3202	266.83	130.51%
	1	May,16	273	3217	268.08	131.59%
	1	Jun,16	274	3230	269.17	132.52%
	Expected DA/DR from July-2016
Expectation.3- 5 points decline in total ACPIN in next 5 months	-1	Feb,16	268	3167	263.92	127.99%	130%	5%
	-1	Mar,16	267	3180	265.00	128.92%
	-1	Apr,16	266	3190	265.83	129.64%
	-1	May,16	265	3197	266.42	130.15%
	-1	Jun,16	264	3200	266.67	130.36%
	Expected DA/DR from July-2016

It is also interesting to know about the comparison of increase in DA/DR and increase in AICPIN. It is clear from following chart/table:-

You may also download/save the excel sheet for self calculation.  The link for excel sheet is given below:

DOWNLOAD: EXCEL FILE FOR EXPECTED DEARNESS CALCULATION TO CALCULATE YOURSELF [click on File-Menu & download]

Press Release of AICPIN for Jan 2016 – remained stationary at 269: