How to calculate Bank DA

How to calculate Bank DA

How to calculate the Dearness Allowance for Bank Employees?

10th BPS Settlement : Dearness Allowance

In substitution of Clause 7 of Bipartite Settlement dated 27th April 2010 with effect from 1st November 2012, the Dearness Allowance shall be payable as per the following rates:-

Clerical and Subordinate Staff 0.10% of ‘pay’

Note: Dearness Allowance in the above manner shall be paid for every rise or fall of 4 points over 4440 points in the quarterly average of the All India Average Working
Class Consumer Price Index (General) Base 1960=100.

(a) It is clarified that there shall be no ceiling on Dearness Allowance.

(b) Dearness Allowance shall be calculated and paid on Basic Pay, Special Pay, Graduation Pay, Professional Qualification Pay and Officiating Pay, if any, payable under this settlement in respect of both clerical and subordinate staff.

(c) All other existing provisions relating to Dearness Allowance Scheme shall remain unchanged.

Step:1 : Consumer Price Index (Industrial Workers) BY 2001=100 published by Labour Bureau every month through its official portal. A year divided into 4 quarters. Jan, Feb & Mar likewise 4 segments of 3 months.

Step:2 : Bank DA calculation is based on 1960 CPI. Convert the index with linking factor of 4.63 and 4.93

Step:3 : Total of 3 months CPI

Step:4 : Average of 3 months CPI

Step:5 : Over 4440 points in the quarterly average of Converted CPI

Step 6: Average of 3 months CPI minus with 4440

Step 7: For every increase of 4 points 1 slab – Divided into 4

Step 8: DA paid at the rate of 0.10%

Month Year
CPI(IW)
BY2001=100
CPI(IW) x 4.63 x 4.93
Total of 3 Months CPI
3 Months
Total Average
Merger Points (X BPS)
Average – Merger Points
Convert to Slab
(Divided by 4)
DA @
0.10% per Slab
Apr-16
271
6185.82
May-16
275
6277.12
Jun-16
277
6322.77
18785.72
6261.91
4440.00
1821.91
455
45.5
Jul-16
280
6391.25
Aug-16
278
6345.60
Sep-16
277
6322.77
19059.63
6353.21
4440.00
1913.21
478
47.8
Oct-16
278
6345.60
Nov-16
277
6322.77
Dec-16
275
6277.12
18945.50
6315.17
4440.00
1875.17
469
46.9
Jan-17
274
6254.30
Feb-17
274
6254.30
Mar-17