
Expected DA from January 2016 – Two Point increase in Dec 2015 may change 7th Pay Commission fitment formulaExpected DA from January 2016 and its impact on 7th Pay Commission Pay fixation formula and Multiplication Factor – If CPI-IW for December reaches 272 then 7th Pay Commission multiplication factor will have to be revised to 2.58

Consequently, no correction or change in 7th pay commission fitment formula / multiplication factor of 2.57, will be needed now with respect to DA factor is concerned.
This makes the job of Empowered Committee which has been set up to process 7th Pay Commission report, easier now, as they need not correct / revise the 7th Pay Commission’s new pay matrix and fitment formula with respect to DA from January 2016.
Consumer Price Index from January 2015 to November 2015
Month | Actual AICPI-IW |
Jan-2015 | 254 |
Feb-2015 | 253 |
Mar-2015 | 254 |
Apr-2015 | 256 |
May-2015 | 258 |
Jun-2015 | 261 |
July-2015 | 263 |
Aug-2015 | 264 |
Sep-2015 | 266 |
Oct-2015 | 269 |
Nov-2015 | 270 |
Dec-2015 | 269 |
DA from Jan 2016= | [(254+253+254+256+258+261+263+264+266+269+270+269)-115.76]*100/115.76 |
= | 125 % (6% increase in DA from Jan 2016) |

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