The labour Bureau, Government Of India have notified the All-India Average Consumer Price Index Numbers for Industrial Workers for Jan, Feb and Mar 2011. The index is 188,185 and 185 respectively. The Consumer Price Index is crucial for calculation of DA/DR payable to central government employees and pensioners respectively on 1 Jan & 1 July every year.
If the same trend continues the DA/DR payable with effect from 01.07.2011 will increase by 7% taking the total to 58%. If the index rises more than 185 in Apr, May and Jun 2011, then the DA/DR payable could increase by 8%, taking the total to 59%. This is probable in view of the recent hike in petrol price. Please refer to our advance news on this matter posted earlier.