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Expected DA – Dearness Allowance from July-2012 will be 72% – Increase in DA will be 7%

Two expectation gives 72% Dearness Allowance (DA) from July 2012 as illustrated below:

AICPIN as on Apr, 2012: As per All India Consumer Price Index Number [http://labourbureau.nic.in/indtab.html] for Industrial Workers (CPI-IW) on base 2001=100 for the month of April, 2012 increased by 4 points and stood at 205 (Two hundred & five).

First Expectation: 

It is presumed that AICPIN will stand constant i.e. 205 for May, 2012 and June 2012:

Expected Dearness Allowance DA for July, 2012 calculated as under:

Dearness Allowance = (Avg of AICPI for the past 12 months – 115.76)*100/115.76

Month
Base Year 2001 = 100
Total of 12 Months
Twelve monthly
Average
% increase over
115.76 for   DA
DA announced or will
be announced
Aug-11
194
2234
186.17
60.82%
65%
Sep-11
197
2252
187.67
62.12%
Oct-11
198
2269
189.08
63.34%
Nov-11
199
2286
190.50
64.56%
Dec-11
197
2298
191.50
65.43%
Jan-12
198
2308
192.33
66.15%
Feb-12
199
2322
193.50
67.16%
72%
Mar-12
201
2338
194.83
68.31%
Apr-12
205
2357
196.42
69.68%
May-12
205
2375
197.92
70.97%
Jun-12
205
2391
199.25
72.12%
Jul-12
Expected DA from Jul-2012

Second Expectation: 

It is presumed that AICPIN will increased maximum by 4 (no chance) i.e. 209 for May, 2012 and 213 for June 2012:

Expected Dearness Allowance DA for July, 2012 calculated as under:

Dearness Allowance = (Avg of AICPI for the past 12 months – 115.76)*100/115.76

Month
Base Year 2001 = 100
Total of 12 Months
Twelve monthly
Average
% increase over
115.76 for   DA
DA announced or will
be announced
Aug-11
194
2234
186.17
60.82%
65%
Sep-11
197
2252
187.67
62.12%
Oct-11
198
2269
189.08
63.34%
Nov-11
199
2286
190.50
64.56%
Dec-11
197
2298
191.50
65.43%
Jan-12
198
2308
192.33
66.15%
Feb-12
199
2322
193.50
67.16%
72%
Mar-12
201
2338
194.83
68.31%
Apr-12
205
2357
196.42
69.68%
May-12
209
2379
198.25
71.26%
Jun-12
213
2403
200.25
72.99%
Jul-12
Expected DA from Jul-2012

Now it is clear that Expected DA will be 72% means 7% increase in Dearness allowance from July-2012.

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COMMENTS

WORDPRESS: 9
  • According to the present rules for calculating pension, basic pay, rank pay (of Armed Forces Officers) and dearness Pay is taken into account. Dearness Allowance and technical pay is omitted.

    When was dearness pay last given by the government? Was it when DA became more than 50% of pay and was merged with pay?

    VK Singh

  • Anonymous 12 years ago

    Is there no business than expecting the increase in nearness allowance?

  • Anonymous 12 years ago

    As per price hike of the commodities and petrol/diesel, Govt should increase the DA 10% from July'2012. Otherwise stop the hike of price of commodities……

  • In m face book I have got one valuable message written in the stepney tire of scooter that "begging is better than getting bribe"

  • Keeping in-view of the steep hike in essential commodities, DA should be enhanced to 12% wef Jul 2012

  • As per the steep hike in essential commodities, DA should be enhanced to 10% wef Jul 2012

  • Central govt employee 12 years ago

    Nice and unique article on Dearness Allowance from July, 2012. Please provide DA Calculation Sheet in Excel Document.

  • Month – May-12
    Base Year 2001 = 100 – 203
    Total of 12 Months – 2373
    Twelve monthly Average – 197.75
    % increase over 115.76 for DA – 70.83%

    Month – Jun-12
    Base Year 2001 = 100 – 204
    Total of 12 Months – 2388
    Twelve monthly Average – 199.00
    % increase over 115.76 for DA – 71.91%

    In above case Expected DA from Jul-2012 will be 71%

  • Anonymous 12 years ago

    What is the expectation of DA from July 12 for decreased AICPN to 203 in May and 204 in June.