DA for Bank Employees is expected to increase by 10 slabs from August 2018 to October 2018. Looking into the trend in CPI, this is based on assumption that CPI for the months of June 2018 will increase by 1 point from the level of May 2018 (289). It has increased from 288 for April 2018. (Read: How DA for Bank Employees is calculated).
DA slabs for the next quarter, August 2018 to October 2018 is expected to be 539 i.e., 53.90 %. That means an expected increase in DA by 1.0% from the existing 52.90% for the quarter May 18 to July 18.
Consumer Price Index (CPI) for the month of May 2018 has been published by Labour Bureau, which is also 289 i.e. 1 point increase over April 2018. Looking into the trend, we assume that CPI will increase by 1 point for the month of June 2018 (290). As such expected increase in DA for the next quarter is 10 slabs.
Dearness Allowance for bankers increased by 1.10% for the quarter Feb 18 to Apr 18 and by 3.80% during the previous quarter (Nov 17 to Jan 18). There was mere 0.20% increase for the last quarter May 18 to July 18.
Lets see the calculations:
CPI for the month of April 2018 and May 2018 is 288 and 289 respectively. We assume CPI June 2018 as 290. Converting the CPI by multiplying with conversion factor (4.63 x 4.93), average works out to 6596.69.
By deducting 4440 slabs (which were merged in basic pay in 10th bipartite settlement), works out to 539.17 for the quarter (rounded off to 539).
We’ll update the update about final Dearness Allowance for August 2018 to October 2018, next month on the release of CPI data for the month of June 2018.
Read: Finacle 10 Commands
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