Dearness Allowances, DA for Bank employees from 1st November 2021, as per 11th and 10th BPS

AICPIN-IW for August 2021 has been released by Labour ministry on 30.09.2021. After declaration of AICPIN-IW for September 2021 on 29.10.2021, the DA for Bank employees from 1st November 2021 will be known to us for 11th and 10th BPS.

  1. DA for bankers from 1st November 2021 for 11th BPS will be in the range of 29.82 % to 30.80 %.
  2. DA for bankers from 1st November 2021 for 10th BPS will be in the range of 90.40 % to 91.80 %.

Expected DA for bankers from 1st November 2021 for 11th BPS:

EXPECTED Dearness Allowance (DA) for bank employees from 1st November 2021 for 11th BPS
EXPECTED Dearness Allowance (DA) for bank employees from 1st November 2021 for 11th BPS

DA for bankers from 1st November 2021 for 10th BPS:

EXPECTED Dearness Allowance (DA) for bank employees from 1st November 2021 for 10th BPS
EXPECTED Dearness Allowance (DA) for bank employees from 1st November 2021 for 10th BPS

11th BPS DA for Aug, Sep and Oct 2021: on 02.08.2021, IBA has published the official order of DA for bank employees, workmen and officers, which reflects the change from last quarter in DA for Bank employees with effect from 1st Aug 2021.

Dearness Allowance (DA) rate hike for workmen and officer employees in banks from 01.08.2021, as per 11th bipartite settlement:

As per 11th bipartite settlement, the DA for bank employees, workmen and officers from 1st Aug 2021 increased to 27.79%, increment of 2.10% compared to last quarter.

Dearness Allowance (DA) for workmen and officer employees in banks from 01.08.2021, as per 10th bipartite settlement:

As per 10th bipartite settlement, the DA for bank employees, workmen and officers from 1st Aug 2021 increased to 87.50%, increment of 3.0% compared to last quarter.

IBA official DA order (01.08.21) for Bank employees for Aug’21, Sep’21 and Oct’21 months:

Government of India had released average AICPIN for the quarter April 2021, May 2021, and June 2021. With these average AICPIN numbers, the Dearness Allowances for Bank employees has been calculated.

This Dearness Allowance (DA) are for workmen and officer employees in Banks for the months of Aug, Sep & Oct 2021 under XI BPS / 8th Joint Note dated 11.11.2020.

IBA official DA order for Bank employees of period Aug, Sep and Oct 2021
IBA official DA order for Bank employees of period Aug, Sep and Oct 2021

IBA’s official order of Dearness Allowances rate for Bank Employees:

IBA official order of DA for Bank employees from Aug 21 to Oct 21 – Click Here.

The AICPI – IW (All-India Consumer Price Index – Industrial Workers) is released by Labour Bureau, under Ministry of Labour and Employment, on the last working day of every month for previous month. And based on the consecutive 3 months, means 1 quarter, calculation of average is done to find slabs, and then DA percentage rate, which may be more or less than the previous quarter DA rate.

AICPIN-IW (Industrial workers) declared for the last months:

  1. 30.09.2021 – August 2021 AICPIN – 354 (Click Here to download) (123 x 2.88 = 354)
  2. 31.08.2021 – July 2021 AICPIN – 354 (Click Here to download) (122.8 x 2.88 = 354)
  3. 30.07.2021 – June 2021 AICPIN – 350 (Click Here to download) (121.7x 2.88 = 350)
  4. 30.06.2021 – May 2021 AICPIN – 347 (Click Here to download) (120.6x 2.88 = 347)
  5. 31.05.2021 – April 2021 AICPIN – 346 (Click Here to download) (120.1x 2.88 = 346)
  6. 30.04.2021 – March 2021 AICPIN – 344 (Click Here to download) (119.6 x 2.88 = 344)
  7. 31.03.2021 – February 2021 AICPIN – 343 (Click Here to download) (119 x 2.88 = 343)
  8. 26.02.2021 – January 2021 AICPIN – 340 (Click Here to download) (118.2 x 2.88 = 340)

As per 11th BPS, how to calculate slabs and DA of bank employees? What is the formula of slab and DA calculation of bank workmen and officers?

AICPIN calculation for slabs and DA rate of bankers:

  1. 22.10.2020 – Sep 2020 AICPIN = 118.1 x 2.88 x 4.63 x 4.93 = 7763.73
  2. 30.09.2020 – Aug 2020 AICPIN = 338 x 4.63 x 4.93 = 7715.15
  3. 31.08.2020 – Jul 2020 AICPIN = 336 x 4.63 x 4.93 = 7669.50

In terms of 11th bipartite settlement BPS/Joint Notes, 6352 points of DA was merged with the ‘pay’ and DA rate was fixed at 0.07 % per DA slab. So, the calculation of Bank DA is:

  • Average of the quarter (Jul, Aug, Sep) = 7713.93 [(7669.50+7715.15+7763.73) / 3 = 7716.13]
  • Number of DA slabs = 7716.13 – 6352 = 1364.13 / 4 = 341.03 slabs
  • DA rate effective from 01.11.2020 = 23.87 % (0.07 % of 341.03)

As per 10th BPS, how to calculate slabs and DA of bank employees? What is the formula of slab and DA calculation of bank workmen and officers?

AICPIN calculation for slabs and DA rate of bankers:

  1. 22.10.2020 – Sep 2020 AICPIN = 118.1 x 2.88 x 4.63 x 4.93 = 7763.73
  2. 30.09.2020 – Aug 2020 AICPIN = 338 x 4.63 x 4.93 = 7715.15
  3. 31.08.2020 – Jul 2020 AICPIN = 336 x 4.63 x 4.93 = 7669.50

In terms of X BPS/Joint Notes, 4440 points of DA was merged with the ‘pay’ and DA rate was fixed at 0.1 % per DA slab. So, the calculation of Bank DA is:

  • Average of the quarter (Jul, Aug, Sep) = 7713.93 [(7669.50+7715.15+7763.73) / 3 = 7716.13]
  • Number of DA slabs = 7716 – 4440 = 3276 / 4 = 819 slabs
  • DA rate effective from 01.11.2020 = 81.9 % (0.1 % of 819)

Based on the AIACPI-IW (All India Average Consumer Price Index – Industrial Workers) data, the HR & Industrial Relations department of Indian Banks Association (IBA) calculates the new DA rate and issues the press note indicating the change in DA rate.

Similarly, after the release of AIACPI-IW data of July, August and September 2021 by the Ministry of labour and employment, the DA for bank employees from 1st November 2021 will be decided.

Past or historic data of DA rate for bank workmen and officer employees as per 11th BPS:

DA payable months or periodAverage CPI (AICPIN-IW)No. of Slabs% of PayDifference from last Quarter (%)
01.11.2021 to 31.01.2022
01.08.2021 to 31.10.20217941.2239727.792.10 %
01.05.2021 to 31.07.20217818.5136725.69-0.49 %
01.02.2021 to 30.04.20217819.4637426.182.31 %
01.11.2020 to 31.01.20217716.1334123.874.40 %
Past or historic data of DA rate for bankers as per 11th BPS

Past or historic data of DA rate for bank workmen and officer employees as per 10th BPS:

DA payable months or periodAverage CPI (AICPIN-IW)No. of Slabs% of PayDifference from last Quarter (%)
01.11.2021 to 31.01.2022
01.08.2021 to 31.10.2021 7941.22 875 87.5 3.0 %
01.05.2021 to 31.07.2021 7818.51 84584.5-0.70%
01.02.2021 to 30.04.20217819.4685285.23.3
01.11.2020 to 31.01.20217716.1381981.94.4
01.08.2020 to 31.10.2020754077577.51.4 
01.05.2020 to 31.07.20207486.976176.10.2 
01.02.2020 to 30.04.20207479.2975975.94.2 
01.11.2019 to 31.01.2020731171771.73.6 
01.08.2019 to 31.10.20197167.3368168.13.6 
01.05.2019 to 31.07.2019702364564.53.4 
01.02.2019 to 30.04.2019688561161.10.4 
01.11.2018 to 31.01.2019687160760.76.6 
01.08.2018 to 31.10.2018660454154.11.2 
01.05.2018 to 31.07.2018655952952.90.2 
01.02.2018 to 30.04.2018655152752.71.1 
01.11.2017 to 31.01.2018650551651.63.8 
01.08.2017 to 31.10.20176353.2147847.82.2 
01.05.2017 to 31.07.20176261.9145645.61.3 
01.02.2017 to 30.04.2017631546946.91.3 
01.11.2016 to 31.01.2017635345645.60.1 
01.08.2016 to 31.10.20166261.945545.53.5 
01.05.2016 to 31.07.20166117420420.6 
01.02.2016 to 30.04.2016614742642.62.8 
01.11.2015 to 31.01.2016603339839.83.4 
01.08.2015 to 31.10.2015589636436.474.3 
Past or historic data of DA rate for bankers as per 10th BPS

11th bipartite settlement – Joint circular wage negotiation 11.11.2020, between IBA and Officers association:

11th bipartite settlement – Joint Note dated 11th November 2020 of conclusion of discussions between Indian Banks Association and Officers Association is here in PDF to download.

Disclaimer: Kindly refer dpe.gov.in for any inconsistencies in rules, understandings and clarification.

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