EXPECTED DA RISE FROM JANUARY 2015 (1-1-2015) FOR CENTRAL GOVT. EMPLOYEES : Situation after declaration of AICPIN for October 2014.

AICPIN for OCTOBER  2014 is declared on 28-11-2014 which remained stationary at 253 points.Thus with present scenario, the estimation of DA rise w.e.f. 1-1-2015 has been carried out with the help of  following cases:

CASE-I:  There is no change in AICPIN for next 3 months : 

         Let us assume that for next 2 months i.e. November 2014 to December 2014, the AICPIN neither rises nor declines and remains constant at 253 points for all these months. The calculation of DA rise in this case  indicates that, the DA rise would be 6% w.e.f. 1-1-2015.

CASE-II:  The AICPIN increases by ONE point every month for next 2 months:

The calculation of DA rise in this case indicates that the DA rise would be 6% w.e.f. 1-1-2015.

CASE-III:  The AICPIN increases by TWO points every month for next 2 months:

The calculation of DA rise in this case  indicates that the DA rise would be 6% w.e.f. 1-1-2015.

CASE-IV:  The AICPIN increases alternatively by TWO points and ONE point    every month for next 2 months: 

The calculation of DA rise in this case  indicates that the DA rise would be 6% w.e.f. 1-1-2015.

CASE-V:  The AICPIN increases alternatively by ONE point and TWO points  every month for next 2 months: 

The calculation of DA rise in this case  indicates that the DA rise would be 6% w.e.f. 1-1-2015.

CASE-VI:  The AICPIN increases  by  TWO AND THREE  points  respectively  for 2 MONTHS :

Let AICPIN increases to 255 points for November 2014 and 258 points for December 2014 .
The calculation of DA rise in this case  indicates that the DA rise would be 6% w.e.f. 1-1-2015.

CASE-VII:  The AICPIN increases by THREE points every month for next 2 months:

The calculation of DA rise in this case indicates that the DA rise would be 6% w.e.f. 1-1-2015.

CASE-VIII:  The AICPINDEcreases by ONE point every month for next 2 months:

The calculation of DA rise in this case indicates that the DA rise would be 6% w.e.f. 1-1-2015.

CASE-IX:  The AICPINDEcreases by TWO points every month for next 2 months:

The calculation of DA rise in this case indicates that the DA rise would be 5% w.e.f. 1-1-2015.

CONCLUSION:  By analysing above different situations, we can conclude that minimum DA rise may be 5% and maximum 6% w.e.f. JANUARY 2015.   MORE LIKELY RISE IN DA IS EXPECTED AS 6%

All-India CPI-IW for October, 2014 remained stationary at 253

No. 5/1/2014- CPI

GOVERNMENT OF INDIA

MINISTRY OF LABOUR & EMPLOYMENT

                                                                   LABOUR BUREAU

‘CLEREMONT’, SHIMLA-171004

DATED: the 28th November, 2014

Press Release

Consumer Price Index for Industrial Workers (CPI-1W) - October, 2014

The All-India CPI-1W for October, 2014 remained stationary at 253 (two hundred and fifty three). On l-month percentage change, it remained static between September, 2014 and October, 2014 when compared with the rise of 1.26 per cent between the same two months a year ago.

The largest upward pressure to the change in current index came from Miscellaneous group contributing (+) 0.28 percentage points to the total change. At item level, Wheat, Wheat Atta, Arhar Dal, Potato, Green Coriander Leaves, Lemon, Guava, Tea (Readymade), Snack Saltish, Cigarette, Firewood, Primary & Secondary School Fee, Private Tuition Fee, Toilet Soap, Tailoring Charges, etc. are responsible for the increase in index. However, this increase was restricted to some extent by Coconut OIL, Onion, Apple, Banana, Cauliflower, Gowar Phali, Tomato, Sugar, Medicine (Allopathic), Petrol, etc., putting downward pressure on the index. 

The year-on-year inflation measured by monthly CPI-1W stood at 4.98 per cent for October, 2014 as compared to 6.30 per cent for the previous month and 11.06 percent during the corresponding month of the previous year. Similarly, the Food inflation stood at 4.48 per cent against 6.46 per cent of the previous month and 15.02 per cent during the corresponding month of the previous year.

At centre level, Munger Jamalpur reported an increase of 12 points followed by  Goa (11 points), Srinagar (7 points), Giridih and Sholapur (5 points each) and Coonoor (4 points). Among others, 3 points rise was observed in 10 centres, 2 points in 9 centres and 1 point in 5 centres. On the contrary, Chhindwara recorded a decrease of 5 points. Among others, 3 points fall was registered in S centres, 2 points in 5 centres and 1 point in 16 centres. Rest ofthe 21 centres’ indices remained stationary.

The indices of 37 centres are above and other 41 centres’ indices are below national average.

The next index of CPI-1W for the month of November, 2014 will be released on Wednesday, 31 December, 2014. The same will also be available on the office website www. labourbureau.gov.in.

(S.S. NEGI)

DIRECTOR

Nagaland State govt hikes DA/ADA for employees w.e.f January 1, 2014 and July 1, 2014.

         Nagaland government has announced to grant dearness allowances and additional dearness allowances to its employees with effect from January 1, 2014 and July 1, 2014.
According to an office memorandum issued by the finance department dated November 13, 2014, a copy of which was obtained by Nagaland Post, DA/ADA would be granted in two instalments.
In the first instalment (w.e.f. 01.01.2014), employees drawing pay under RoP Rules, 2010 will get DA with an increase of 10% w.e.f. 01.01.2014 from the existing rate of 90% to 100% of pay in the pay band including grade pay. DA for employees drawing pay under ROP Rules, 1999 will also see an increase of 17% w.e.f 01.01.2014 from the existing rate of 183% to 200% of pay including dearness pay. ADA for employees drawing pay under ROP Rules 1993 has been increased by 47% w.e.f 01.01.2014 from the existing rate of 635% to 682% of Pay.
        In the second instalment (w.e.f 01.07.2014), employees drawing pay under RoP Rules, 2010 will get DA with an increase of 7% w.e.f 01.07.2014 from the existing rate of 100% to 107% of pay in the pay band including grade pay; DA for employees under ROP Rules, 1999 would seen an increase of 12% w.e.f 01.07.2014 from the existing rate of 200% to 212% of pay including Dearness Pay.
         Meanwhile, employees under ROP Rules 1993 would receive ADA with an increase of 33% w.e.f 01.07.2014 from the existing rate of 682% to 715% of pay.

Source: Nagaland Post   dt. 14-11-2014

Haryana Govt. declares 7% DA hike for State government employees w.e.f. 1-7-2014 (July 2014)

The Haryana government, on 11th November 2014, announced 7 per cent hike in dearness allowance (DA) of state government employees with effect from July which will cost Rs 465.94 crore to the state exchequer.

Haryana Chief Minister Manohar Lal Khattar in a release said the employees will get DA at the rate of 107 per cent of their basic pay thus registering an increase of seven per cent in DA.

He said that pensioners and family pensioners would be given Dearness Relief at the rate of 107 per cent of pension with effect from July 1, 2014.

The arrears of the hiked DA of seven per cent from July 2014 would be given in cash.

Source: The Economic Times, Daily

EXPECTED DA RISE FROM JANUARY 2015 (1-1-2015) FOR CENTRAL GOVT. EMPLOYEES : Situation after declaration of AICPIN for September 2014.

AICPIN for SEPTEMBER  2014 is declared on 31-10-2014 which remained stationary at 253 points.Thus with present scenario, the estimation of DA rise w.e.f. 1-1-2015 has been carried out with the help of  following cases:

CASE-I:  There is no change in AICPIN for next 3 months : 

         Let us assume that for next 3 months i.e. October 2014 to December 2014, the AICPIN neither rises nor declines and remains constant at 253 points for all these months. The calculation of DA rise in this case  indicates that, the DA rise would be 6% w.e.f. 1-1-2015.

CASE-II:  The AICPIN increases by one point every month for next 3 months:

The calculation of DA rise in this case indicates that the DA rise would be 6% w.e.f. 1-1-2015.

CASE-III:  The AICPIN increases by TWO points every month for next 3months:

The calculation of DA rise in this case  indicates that the DA rise would be 7% w.e.f. 1-1-2015.

CASE-IV:  The AICPIN increases alternatively by TWO points, ONE point  and TWO points  every month for next 3 months: 

The calculation of DA rise in this case  indicates that the DA rise would be 7% w.e.f. 1-1-2015.

CASE-V:  The AICPIN increases alternatively by ONE point  , TWO points and ONE point every month for next 3 months: 

The calculation of DA rise in this case  indicates that the DA rise would be 6% w.e.f. 1-1-2015.

CASE-VI:  The AICPIN increases  by ONE,TWO AND THREE  points  respectively  for 3 MONTHS :

Let AICPIN increases to 254 points for October 2014, 256 points for November 2014 and 259 points for December 2014 .
The calculation of DA rise in this case  indicates that the DA rise would be 7% w.e.f. 1-1-2015.

CASE-VII:  The AICPIN increases by THREE points every month for next 3 months::

The calculation of DA rise in this case indicates that the DA rise would be 7% w.e.f. 1-1-2015.

CONCLUSION:  By analysing above different situations, we can conclude that minimum DA rise may be 6% and maximum 7% w.e.f. JANUARY 2015.   However effect of  decline in AICPIN is not considered at this stage.We will discuss the same also whenever such situation arises.