Dearness Allowance hike update! Variable DA of Central govt employees hiked, know benefits and other details

The VDA is revised on the basis of average Consumer Price Index for industrial workers (CPI-IW) a price index compiled by Labour Bureau. 

New Delhi: The Ministry of Labour & Employment has announced a hike in variable dearness allowance for workers in central sphere by Rs 105 to Rs 210 per month. The hike, which will be effective from April 1, 2021, will also result in an increase in rate of minimum wages for central sphere employees and workers. “At a time when the country is struggling with the second wave of COVID-19 pandemic, in a major relief to different category of workers engaged in various scheduled employments in the central sphere, the Ministry of Labour & Employment, Government of India has notified and revised the rate of Variable Dearness Allowance (VDA) with effect from 1.4.2021,” said an official release. The VDA is revised on the basis of average Consumer Price Index for industrial workers (CPI-IW) a price index compiled by Labour Bureau. The average CPI-IW for the months of July to December 2020 was used for undertaking the latest VDA revision.