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Monday, July 19, 2010

DA (DEARNESS ALLOWANCE) CALCULATION BASED ON ALL INDIA CONSUMER PRICE INDEX NUMBER FOR INDUSTRIAL WORKERS (AICPIN).

DA Calculation based on AICPIN of May 2010
The expected All India CONSUMER  PRICE INDEX NUMBER ( AICPIN) for INDUSTRIAL Workers Base 2001=100 for the month of May 2010 has been released by Statistical Department, Labour.
The AICPIN for the month of May 2010 is 172.
Based on AICPIN index, here we calculated DA percentage for 1st July 2010.
MonthAll India Index% of increase
Nov-0814821.44
Dec-0814722.38
Jan-0914823.39
Feb-0914824.32
Mar-0914825.12
Apr-0915025.98
May-0915126.84
Jun-0915327.78
Jul-0916029
Aug-0916230.23
Sep-0916331.45
Oct-0916532.67
Nov-0916834.11
Dec-0916935.7
Jan-1017237.43
Feb-1017039.01
Mar-1017040.59
Apr-1017042.03
May-1017243.54
Jun-10??
As per above data, we got 35% dearness allowance for last time based on % of increase in AICPIN.
If the index value remains 172 in June 2010, then % of increase value is 44.91,
=June 10 % of Increase index value minus Jan 10 % of Increase index value
=44.91 (-) 35.7
=9.21
How to calculate % of increase ?
Here is the simple rule for calculate increase percentage for AICPIN
=> DA = (Average of AICPIN for the past 12 months – 115.76)*100/115.76
If the index remains 172 in June 10, there will be an increase of 9%
Last dearness allowance is 35% expecting DA is 10%?
So there is a chances to get 45% Dearness allowance from 1st July 2010 onwards
Date
From which Payable
Rate (%)Increase (%)
1st Jan 200600
1st Jul 200622
1st Jan 200764
1st Jul 200793
1st Jan 2008123
1st Jul 2008164
1st Jan 2009226
1st Jul 2009275
1st Jan 2010358
1st Jul 2010
However we have to wait for the next month index to get clear idea for DA percentage.

courtesy;igec

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