2001 (base year 2001=100) Calculation sheet Formula for calculating Dearness Allowance for Central government employees after 1.1.2006 is : Dearness Allowance %= {(Average of year 2001=100) for the past 12 months – 115.77)/115.77}*100 In October 2021, the government revised the Consumer Price Index-IW base year from 2001 to 2016. A linking factor of 2.88 was defined for converting the new series with the base 2016=100 to the previous series on base 2001=100. Based on this, the DA is currently calculated with the following formula DA = (A – 261.4)*100/(261.4) Where A = Avg of CPI-IW (base 2016=100) for the past 12 months x linking factor of 2.88 Formula for calculating Dearness Allowance for Central public sector employees after 1.1.2007 is : Dearness Allowance %= {(Average of year 2001=100) for the past 3 months - 126.33)/126.33}*100 Dearness allowance with effect from January or July of a particular year in the future, once the for a particular month is published by the Government, whereas for PSU employees it is declared quarterly by DPE (Department of Public Enterprise). Beginning 1 January 1996, the Dearness Allowance is granted to compensate for price increases to which the revised pay scales relate. This will be reviewed twice a year, on 1 January and 1 July. The following table shows All India Consumer Price Index since 1.1.2006 with Base year 2001=100 The DA Rate for Industrial Workers (since 1.1.2007 with Base year 2001=100) for 3rd Quarter (Sep-Dec), 2015 has been declared as 107.9% and that of 4th Quarter (Jan-Mar), 2016 is 112.40%. The Vth Pay Commission recommendations were implemented since 1.1.1996 and consequently DA rate wef 1.1.1996 became 0. Further in 1994 Central Government merged 50% of the Dearness Allowance (DA) with the basic pay w.e.f. 01.04.2004 and the Dearness Allowance continued to be calculated with reference to the AICPI (IW) average as on 1 January 1996 of 306.33 without changing the index base consequent to the merger. Accordingly, Dearness Allowance (DA) as mentioned in table below were sanctioned from 01.07.2004 till 01.07.2007. DA rate as applicable after implementation of VIth Pay Commission recommendations wef from 1.1.2006 is shown in table below :- DA rate as applicable after implementation of VIIth Pay Commission recommendations wef from 1.1.2016 is shown in table below :- Print media workers For print media workers the Government of India has notified a DA Formula in the Gazette No 2532(E) of Nov 11,