D.A. CONFIRMED TO BE HIKED 7% AS ON 01.07.2011

All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100 for the month of June, 2011 increased by 2 points and stood at 189(one hundred and EightyNine).

Accordingly, the DA payable from 01.07.2011 will be 58% as detailed below:

07/10:178

08/10:178

09/10:179

10/10: 181

11/10: 182

12/10: 185

01/11: 188

02/11: 185

03/11: 185

04/11: 186

05/11: 187

06/11: 189

Total: 2203

Twelve monthly Average is: 2203/12 = 183.58

DA Calculation:

183.58 (-) 115.76 = 67.82X 100/115.76 = 58.57

Calculation Method-Implementation of sixth pay commission report, Government ordered that the dearness allowance has to be calculated based on CPI-IW index with the base year 2001=100.

So, DA with effect from the period 1.1.2006, has to be calculated using average Price CPI-IW index of 536 for 2005 (base 1982=100) adjusted to the base year 2001=100 by dividing the same with the Linking Factor between 1982 and 2001 Series which is 4.63. As a result, the average consumer price index (Industrial workers) for 12 months in 2005 (base 2001=100) was worked out to 115.76.