All India Consumer Price Index (Industrial Workers) for May 2015 released by Labour Bureau – Two Point increase in AIPCI(IW)
DA from July 2015 –
As estimated in our article on
30th May 2015, Dearness Allowance for Cental Government Employees with
effect from July 2015 will be increased by 6% thanks to two point increaase in All India CPI (IW) for May 2015.
Except CPI for June-2015, all data for calculation of Dearness Allowance from July 2015 are available now.
| Month | Actual AICPI-IW |
| Jul-2014 | 252 |
| Aug-2014 | 253 |
| Sep-2014 | 253 |
| Oct-2014 | 253 |
| Nov-2014 | 253 |
| Dec- 2014 | 253 |
| Jan-2015 | 254 |
| Feb-2015 | 253 |
| Mar-2015 | 254 |
| Apr-2015 | 256 |
| May-2015 | 258 |
| Jun-2015 | To be released |
We have to take the assumed value for CPI-IW only
for June 2015. It is found that even for increase of 6 points in June
2015 from the existing CPI of 258, DA from July 2015 will be 119%. Only
when CPI is increased to 265 from the existing level of 258, DA from
July 2015 will be increased to 120%.
| DA from Jul 2015= | [(252+253+253+253+253+253+254+253+254+256+258+265)-115.76]*100/115.76 |
| = | 120% (7% increase in DA from July 2015) |
On the lower side, we found that only when Consumer
Price Index fell down to 250 i.e when CPI (IW) is getting decreased by 8
Points, Central Government Employees DA from July 2015 will be fixed at
118%.
| DA from Jul 2015= | [(252+253+253+253+253+253+254+253+254+256+258+250)-115.76]*100/115.76 |
| = | 118 % (5% increase in DA from July 2015) |
From the above, it is clear that chances for
decrease of 8 Points in CPI in a single month or increase of 7 points in
same period are very remote. So, we can very well conclude that DA from
July 2015 will be 119%.
Also check the following articles on estimation of DA from July 2015 for Central Government Employees and Pensioners
DA from July 2015 estimated to be 119% – CPI-IW for April 2015 released
