7th Pay Commission: BIG increase in pension of employees? Check full calculation of DR hike, arrears

We have some good news for retired Central government employees! With the November pension, retired Central government employees will be able to benefit from the increased Dearness Relief (DR). Not only this, but the arrears of four months will also be available which will increase the pension of beneficiaries.

After increasing the Dearness Allowance (DA) and Dearness Relief (DR) to 31% from July 1, it is now reported that the arrears of July, August, September, and October will also be included in the pension of the retired employees in November. An official decision has not been announced yet but is expected to, soon.
Notably, DR is calculated on the basic salary. Therefore, if the pension of a retired employee is Rs 20,000 then their salary will increase by Rs 600. The increase will be based on an increased DR of 3 percent.

BIG increase in the salary of Office Grade

According to the 7th Pay Matrix, there will be a significant increase in the salary of the officer grade. If someone’s basic salary currently is Rs 31,550, then till now they were getting Rs 8,834 according to 28% DR.
But now, after DR increased by 3% to 31%, they will get Rs 9,781 as DR per month. The increase in salary per month will be Rs 947. Similarly, there will be an increase of Rs 11,364 in salary annually.

Four months' arrears to come with November salary

If we look at the calculation on the basis of officer grade salary, then there will be an increase of Rs 947 in DR per month. This means that the arrears for four months will be Rs 3,788. If we also include the increased DR of November, Rs 4,375 will be received by the pensioners.


  1. The increase in the DA has already been paid by SBI.These increases in DA/DR are routine.Every six months these are increased and paid. There was a suspension for 18 months which has been done away with. Nothing to talk about now.


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