Employees Salary Hike 2023: Good news: In 2023, the employees will again get 2 big gifts! Salary will increase from 50000 to 1 lakh, know latest updates
Under the 7th Pay Commission, the fitment factor of the employees can be increased from 2.57 to 3.00 or even 3.68 percent.
Central Employees Salary Hike 2023: Like 2022, Central Employees Pensioners (7th Pay Commission) can get 2 big gifts in the new year 2023. First new dearness allowance and fitment factor. The September 2022 data of the AICPI index has estimated that the dearness allowance of employees may increase between 3 to 5 percent in the new year. Apart from this, the fitment factor can also be increased from 2.57 percent to 3.68 percent. Due to this, there will be a jump in salary from 30000 to 1 lakh. It is yet to be officially confirmed when it will be announced in 2023.
Bounce in AICPI figures
Actually, the central government increases the dearness allowance of government employees twice a year, which depends on the figures of AICPI index. The DA rates for both January-July for 2022 have been announced and now to be announced in 2023. The figures for July to September have come and the figures for October, November and December are yet to come. As per the figures so far, the AICPI index has seen an overall rise of 2.1 per cent, with the figure standing at 131.2 in September. Dearness allowance will increase on the basis of the figures till December 2022, till now the figures till September have come and October, November and December are yet to come.
Dearness allowance will increase by 3 to 5 percent
After looking at these figures, it is expected that in the new year, the DA of central employees-pensioners may be increased by 3 to 5 percent, after which it may be 42 or 43 percent. It can be announced during the budget session in March, but it will be implemented from January 2023. At present, the employees are getting the benefit of 38 percent DA and further in the second half, the numbers of AICPI index will decide that in January 2023 By how much dearness allowance will increase. The increase in January 2023 will be according to the figures till December.
Likely to increase from 3.00 to 3.68 percent
If media reports are to be believed, along with dearness allowance, the long-standing demand for fitment factor can also be met in the new year. The Modi government at the Center may announce an increase in the fitment factor of the employees in 2023, under the 7th Pay Commission, the fitment factor of the employees can be increased from 2.57 to 3.00 or 3.68 percent. Due to this factor, the salary of the employees will be increased. If there is an increase of more than two and a half times, then the basic salary of the employees will increase from 18000 to 21000 or 26000.
Can be announced after the budget session
Actually, the fitment factor is a big measure to decide the minimum salary of central employees. The Pay matrix prepared in the 7th Pay Commission is based on the Fitment factor, therefore the Fitment factor is considered to play an important role in the salary received by the employees. Apart from the allowances of the employees, it is decided on the basis of their basic salary and fitment factor. If media reports are to be believed, several rounds of talks have taken place between the government and the concerned departments regarding the fitment factor of the employees. There is a possibility that the government may take a decision on this after the budget to be presented on 1 February 2023 next year. However, no official announcement has been made in this regard so far.
How much salary will increase
- Due to the fitment factor, the salary of central employees increases by more than two and a half times.
- At present, the fitment factor of the employees under the 7th Pay Commission is 2.57 times and the basic salary is 18000.
- For example, if the basic salary of a central employee is Rs 18,000, then excluding allowances, his salary will be 18,000 X 2.57 = Rs 46,260.
- At 3.68, the salary will be Rs 95,680 (26000 X 3.68 = 95,680) i.e. Rs 49,420 profit will be available in salary. With 3 times the fitment factor, the salary will be Rs 21000 X 3 = Rs 63,000.