7th Pay Commission: After 3% DA hike, HRA could also increase soon; check details

New Delhi. The Central government has recently announced a hike in the Dearness Allowance (DA) of central government employees. With the latest revision, the DA of employees has been increased to 34 per cent. In what could be another good news for government employees, Central could increase other allowances, including House Rent Allowance (HRA) soon. 

The HRA of the central government was last revised in July last year after the DA crossed the 25% mark. At that time, the government had increased the DA to 28 per cent. With a hike in DA to new levels, HRA is also expected to revise. 

HRA Hike Soon? 

The HRA of Central government employees could increase in the coming weeks, accordion to media reports. If the HRA hike comes into effect anytime soon, there will be a bumper increase in the salaries of government employees. 

HRA of government employees depends on the category of the city where they are employed in. The three categories are X, Y and Z. Currently, employees employed in the X category are receiving HRA at 27 per cent of their basic salary while those in Z category cities are receiving the allowance at 18 per cent. The HRA of Z class is currently 9 per cent of their basic salary. 

HRA to Increase By Up to 3%? 

Central employees who fall in the X category are getting HRA at 27 per cent. HRA of Y category employees will be from 18 per cent to 20 per cent. At the same time, the HRA of the Z class will increase from 9 per cent to 10 per cent.

Media reports suggest that the HRA of government employees could soon witness an increase of up to 3%. The HRA for employees in X Class cities could increase by 3 per cent while workers in Y Class cities can receive a 2% hike in the allowance. Also Read: 

Further, employees located in Z class cities could receive a 1% hike in HRA. So, In the best-case scenario, the HRA of government employees will increase from 27 per cent to 30 per cent. Also Read: