7th Pay Commission: Central govt employees could get salary hike ahead of New Year, check how

Central government employees are expected to start receiving an HRA hike soon.

New Delhi: The Central government is expected to increase the Dearness Allowance (DA) of its employees in the coming days. Lakhs of Central government employees are also expected to receive a Diwali bonus along with their salaries for the month of November 2021. And if reports are to be true, then Central government employees could also soon yet another increase in their salaries. 

According to reports, the Central government is mulling an increase in the House Rent Allowance (HRA) after taking into consideration the requests made by lakhs of employees. 

The demands to increase the HRA were put forward by the Indian Railway Technical Supervisors Association (IRTSA) and the National Federation of Railwaymen (NFIR). The organisations are demanding an increase in HRA from January 1. 

For those uninitiated, HRA is an important aspect of the salaries of government employees. Currently, Central government employees get HRA according to the city of posting. 

The government has divided cities into X, Y and Z categories. Employees deployed in the X category cities can get Rs 5400 more HRA than before while those in category and Y and Z can expect a hike of Rs 3600 per month and Rs 1800 per month, respectively. 

All the cities that have a population of more than 50 lakhs come under the X category, in which employees are entitled to an HRA worth 275 of their basic salary. Whereas in category Y and Z cities receive HRA worth 18% and 9% of their basic salaries, respectively. Also Read: RBI panel favours no cap on promoters stake in private banks for 1st 5 years

Moreover, employees of several state-owned companies can receive promotions by the end of December, according to a ZeeNews Hindi report. Also Read: A bumper IPO makes THIS IIT-M alumnus India's newest billionaire