Expected IDA from 1st October 2021, for CPSE, PSU and Govt. employees

AICPIN-IW for July 2021 has been released by Labour ministry on 31.08.2021. After declaration of AICPIN-IW for Aug 2021, the IDA from 1st October 2021 for PSU or CPSE of 3rd PRC and 2nd PRC and others will be known to us.

  1. IDA from 1st October 2021 will be increased in the range of 26.68 % to 27.65 % for 2017 (3rd PRC) CPSE or PSU employees. In addition to DA hike, for 3rd PRC, since IDA will certainly cross 25% from 1st Oct’21, the HRA will also be hiked to 27%/18%/9% from existing 24%/16%/8% of basic pay, for class X, Y, Z cities respectively. For Details of HRA increment from 1st July 2021- Click here.
  2. IDA from 1st October 2021 will be increased in the range of 178.11 % to 180.22 % for 2007 (2nd PRC) CPSE or PSU employees.

Major Contents in the Post: (Jump to the Section)

  1. Expected IDA from 1st October 2021 for CPSE, PSU and Govt. employees
  2. IDA for 2017 pay scale CPSE, PSU and Govt. employees from 1st July 2021
  3. IDA for 2007 pay scale CPSE, PSU and Govt. employees from 1st July 2021
  4. IDA for 1997 pay scale CPSE, PSU and Govt. employees from 1st July 2021
  5. IDA for 1987 & 1992 pay scale CPSE, PSU and Govt. employees from 1st July 2021
  6. Calculation of IDA for PSU, CPSE, based on AICPIN
  7. AICPIN -IW of last 3 months
  8. Past IDA data of 3rd PRC or 2017 scale, Past IDA data of 2nd PRC or 2007 scale
  9. Past IDA data of 1997 pay scale, Past IDA data of 1987 and 1992 pay scale
  10. Calculation or formula for IDA of 3rd PRC, Calculation or formula for IDA of 2nd PRC
  11. Pay revision documents of 3rd PRC, 2nd PRC and more.

Expected IDA from 1st October 2021 for 3rd PRC PSU, CPSE, based on AICPIN:

Calculation of IDA rate for 3rd PRC or 2017 pay scale from 1st October 2021
Calculation of IDA rate for 3rd PRC or 2017 pay scale from 1st October 2021

Expected IDA from 1st October 2021 for 2nd PRC PSU, CPSE, based on AICPIN:

Calculation of IDA rate for 2nd PRC or 2007 pay scale from 1st October 2021
Calculation of IDA rate for 2nd PRC or 2007 pay scale from 1st October 2021
  1. IDA from 1st July 2021 has been increased to 23.2% for 2017 (3rd PRC) CPSE or PSU employees.
  2. IDA from 1st July 2021 will be increased to 170.5% for 2007 (2nd PRC) CPSE or PSU employees.
  3. IDA from 1st July 2021 will be increased to 356.7% for 1997 pay scale.
  4. IDA from 1st July 2021 will be increased to 609.8% / 457.3% / 365.9% / 304.9% for 1987 & 1992 pay scale (based on the pay-band).

IDA from 1st July 2021 for 3rd PRC PSU, CPSE declared by DPE (Revision of 2017 pay):

IDA for 2017 pay scale (3rd PRC) CPSE or PSU employees has been increased to 23.2 % from 1st July 2021.

IDA rate declared for 3rd PRC or 2017 pay scale from 1st July 2021
IDA rate declared for 3rd PRC or 2017 pay scale from 1st July 2021

IDA from 1st July 2021 for 2nd PRC PSU, CPSE declared by DPE (Revision of 2007 pay):

IDA for 2007 pay scale (2nd PRC) CPSE or PSU employees has been increased to 170.5 % from 1st July 2021.

IDA rate declared for 2nd PRC or 2007 pay scale from 1st July 2021
IDA rate declared for 2nd PRC or 2007 pay scale from 1st July 2021

IDA from 1st July 2021 PSU, CPSE declared by DPE (Revision of 1997 pay):

IDA for 1997 pay scale CPSE or PSU employees has been increased to 356.7 % from 1st July 2021.

IDA revised order for 1997 pay wef 1st July 2021 by DPE
IDA revised order for 1997 pay wef 1st July 2021 by DPE

IDA from 1st July 2021 for PSU, CPSE declared by DPE (Revision of 1987 & 1992 pay):

IDA for 1987 & 1992 pay scale CPSE or PSU employees has been increased to 609.8% / 457.3% / 365.9% / 304.9% from 1st July 2021.

IDA revised order for 1987 and 1992 pay wef 1st July 2021 by DPE
IDA revised order for 1987 and 1992 pay wef 1st July 2021 by DPE

AICPI-IW (Industrial workers) for the past months:

  1. 31.08.2021 – July 2021 AICPIN – 354 (Click Here to download) (122.8 x 2.88 = 350)
  2. 30.07.2021 – June 2021 AICPIN – 350 (Click Here to download) (121.7x 2.88 = 350)
  3. 30.06.2021 – May 2021 AICPIN – 347 (Click Here to download) (120.6x 2.88 = 347)
  4. 31.05.2021 – April 2021 AICPIN – 346 (Click Here to download) (120.1x 2.88 = 346)
  5. 30.04.2021 – March 2021 AICPIN – 344 (Click Here to download) (119.6 x 2.88 = 344)

Based on the AICPI-IW data, Department of Public Enterprises (DPE) under Ministry of Heavy Industries & Public Enterprises calculates the new IDA rate and releases the press note indicating the change in IDA rate.

Similarly, after the release of aicpin-iw data of June 2021, July 2021 and August 2021 by the Ministry of labour and employment, the IDA from 1st October 2021 for PSU, CPSE and Govt. employees will be decided for 3rd PRC, 2nd PRC, 1997 pay scale and 1987 & 1992 pay scale etc.

Past change of IDA for CPSE employees for 2017 (3rd PRC), 2007 (2nd PRC), 1997, 1987 & 1992 with DPE letter (source-DPE):

The current data of IDA since 01.01.2018 for all the pay scales as well as the historical data of all the CPSE pay scales implemented from year 2017, 2007, 1997 and 1987 & 1982 are compiled here. This will give you the reference to compare all the data among the different pay scales in different times, how much differences are among the pay scales and in same pay scale, what is the timeline of IDA change.

Here the IDA change has been written for a quarter for all the pay scales. These letters are issued by the DPE under MHIPE. The official letters issued by them has been attached here in the link. Click on the ‘IDA % number’ link to fetch the official letter from the DPE website.

PeriodIDA for 3rd PRC or 2017 pay scaleIDA for 2nd PRC or 2007 pay scaleIDA for 1997 pay scaleIDA for 1987 & 1992 pay scale
01.10.2021 to 31.12.2021
01.07.2021 to 30.09.2021 23.2% (But calculated is 24.64%)170.5% (But calculated is 173.62%)356.7% 609.8% / 457.3% / 365.9% / 304.9%
01.04.2021 to 30.06.2021 23.2 %, But kept same at 18.4% 170.5 %, But kept same at 159.9% Same as DA from 01.07.20 Same as DA from 01.07.20
01.01.2021 to 31.03.202123.7 %, But kept same at 18.4%171.5 %, But kept same at 159.9%Same as DA from 01.07.20Same as DA from 01.07.20
01.10.2020 to 31.12.202020.9 %, But kept same at 18.4%165.4 %, But kept same at 159.9%Same as DA from 01.07.20Same as DA from 01.07.20
01.07.2020 to 30.09.202018.4 %159.9 %338.8%291-582%
01.04.2020 to 30.06.202018.7%160.7%340.2%292-584%
01.01.2020 to 31.03.202017.2 %157.3 %334.3 %287-575%
01.10.2019 to 31.12.201914.8 %152%325.5%280-561%
01.07.2019 to 30.09.201912.4 %146.7%316.6%273-547%
01.04.2019 to 30.06.201910 %141.4%307.5%266-533%
01.01.2019 to 31.03.20198.8 %138.3%303.1%263-526%
01.10.2018 to 31.12.20187.3 %135.6%297.8%259-518%
01.07.2018 to 30.09.20183.8 %128%284.8%249-498%
01.04.2018 to 30.06.20183.5 %127.2%283.5%248-496%
01.01.2018 to 31.03.20183.4 %126.9%283.1%247-495%
History of Dearness allowance DA (IDA) hike for central public sector enterprises of 3rd PRC(2017 ), 2nd PRC (2007), 1st PRC (1997) and 1987 & 1992

Formula to calculate IDA rate for 3rd PRC or 2017 pay scale? Example:

  • Average AICPI (2001=100) for the last 3 quarters:
  • Feb 2021 = 343
  • Jan 2021 = 340
  • Dec 2020 = 342
  • Average of the quarter = 342
  • Link point = 277.33 (as on 01.01.2017)
  • Increase over Link point = 64.67 = [342 – 277.33]
  • DA rate effective from 01.04.2021 = 23.32 = [(64.67/ 277.33) x 100]

How to calculate IDA rate for 2nd PRC or 2007 pay scale? Example:

  • Average AICPI (2001=100) for the last 3 quarters:
  • Feb 2021 = 343
  • Jan 2021 = 340
  • Dec 2020 = 342
  • Average of the quarter = 342
  • Link point = 126.33 (as on 01.01.2007)
  • Increase over Link point = 215.67 = [342 – 126.33]
  • DA rate effective from 01.04.2021 = 170.7 = [(215.67 / 126.33) x 100]

Pay revision documents of CPSE employees (source: DPE) :

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

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9 thoughts on “Expected IDA from 1st October 2021, for CPSE, PSU and Govt. employees

      1. Because no one is there to question the Government. Further, Govt is unable to provide the logical answer to the question. Probably, this is to avoid increase of HRA for CPSU employees.

    1. Govt. is giving us IDA rate of 1st April, not of 1st July. Like they gave 28% (DA of 1st Jan) to Central Govt. Employees instead of 31% (DA of 1st July).

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