DEARNESS ALLOWANCE
Dearness Allowance
Dearness Allowance (DA) is a cost-of-living adjustment paid to government employees and pensioners to offset the effects of inflation. It is a fixed component of the basic salary structure and is revised periodically based on the Consumer Price Index (CPI). There are two main types of DA: Variable DA and Industrial DA. Variable DA is revised every six months, while Industrial DA is revised quarterly. DA rates vary depending on the Pay Matrix Level, Basic Salary, and Rate of Transport Allowance. You can calculate your DA online using a DA Calculator.
Dearness Allowance is revised by the Pay Commission from time to time. This is done to keep it relevant and aligned with the current economic scenario. Through a systematic five-step process, the Pay Commission effectively evaluates, adjusts, reviews, recommends, and implements changes to DA, thereby safeguarding the financial well-being of government employees and pensioners.