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The DA for the Central Government employees has reached 113% of their pay. It has been the practice that, when the DA increases more than 50%, it should be merged with pay so that the workers will not be losing much due to the increase in the cost of living.
Though the VII Central Pay Commission has been appointed, the terms of reference given to CPC do not include DA Merger and hence the CPC is denying to give any recommendation in the matter.
As such, it is incumbent on the government to declare DA merger at least to 100% with out any further delay.