Basic Pay and DA after 50% DA Merger? – Gconnect

An Estimation in respect of entry level pay in pay band applicable to Four
Grade Pay which will fall in to each of four 6CPC revised Pay Scales PB-1,
PB-2, PB-3, and PB-4

While all Central Government Employees across India are eagerly awaiting 50% DA
Merger with Pay, we have attempted to estimate the difference in basic pay and
DA after 50% DA Merger for entry level pay in pay band applicable to Four
Cadres with Grade Pay Rs.2400, Rs. 4200, Rs.5400 and Rs. 8700/-

Basis for Estimating difference in Basic Pay and DA after 50% DA Merger

In 2004, when 50% DA Merger was made before implementation of 6th Pay
Commission Report, applicable DA prior to DA merger was 61%. Then a new pay
called Dearness Pay was created by taking 50% of basic pay and new DA @ 11% was
calculated on basic pay and dearness pay as detailed below

Note: 1. This is only an estimation. Order for DA merger is yet to be issued by
Government. Applicability and actual benefit will be known only after issue of
formal orders for 50% DA merger.

2. We have taken in to account only the pay in pay band and grade pay for
additional benefit out of DA merger. The impact of DA merger can also be
calculated in respect of HRA and TA.

3. As DA eligibility as on 01.01.2014 is 100%, we have estimated the DA after
50% DA merger as on 01.01.2014 as 50%. The actual DA granted by Government from
01.01.2014 will be known only after issue of DA orders with effect from
01.01.2014.

4. We have estimated difference in Basic Pay and DA in respect of entry level
pay in pay band applicable to Four Grade Pays Viz., Rs.2400, Rs.4200, Rs. 5400
and Rs. 8700, which will fall in to 6CPC revised Pay Scales PB-1, PB-2, PB-3,
and PB-4 respectively. Similarly, in respect of other grade pay in 6CPC revised
pay scales also difference in Basic Pay and DA on account of 50% DA merger can
be calculated

Pay in Pay Band – Rs. 7440

Grade Pay -Rs. 2400

Total Basic Pay – Rs. 9840

Pay in Pay Band – Rs. 7440

Grade Pay – Rs. 2400

Dearness Pay (50% of pay in pay band and Grade Pay) – Rs. 4920

Total Basic Pay – Rs. 14760

Pay in Pay Band – Rs. 9300/-

Grade Pay – 4200/-

Total Basic Pay – Rs. 13500/-

Pay in Pay Band – Rs. 9300/-

Grade Pay – Rs. 4200/-

Dearness Pay (50% of pay in pay band and Grade Pay) – Rs. 6750/-

Total Basic Pay – Rs. 20250/-

Pay in Pay Band – Rs. 15600/-

Grade Pay 5400

Total Basic Pay – Rs. 21000/-

Pay in Pay Band – Rs. 15,600/-

Grade Pay – Rs. 5400/-

Dearness Pay (50% of pay in pay band and Grade Pay) – Rs. 10,500/-

Total Basic Pay – Rs. 31500

Pay in Pay Band – Rs. 37,400/-

Grade Pay Rs. 8700/-

Total Basic Pay – Rs. 46,100/-

Pay in Pay Band – Rs. 37400/-

Grade Pay – Rs. 8700/-

Dearness Pay (50% of pay in pay band and Grade Pay) – Rs. 23,050/-

Total Basic Pay – Rs. 69,150/-