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To

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Dear sir,
As per the Notification No.401/23-03-06-7/104 dt. 24/02/2006 a system has been
adopted to neutralize the Dearness Allowance hundred percent on the Basis of
Average Increments in the Half yearly Consumer Price Index Under the Minimum
Wages Act.
The All India Consumer Price Index on the Basis of (1982=100) for the Period July
2010 to December 2010 is as under:-
Period Index
July 2010 824
Aug 2010 824
Sept 2010 829
Oct-2010 838
Nov-2010 843
Dec-2010 857
Total 5015/6=835.83

As per the above Notification the main object to neutralized the increment in the
price index over the points 522.Therefore the Increments is 313.83 points which has
to be neutralized over the point 522,hence the Dearness Allowance payable to
different Categories w.e.f. 01/04/2011 after neutralizing the same is as under:-

Category Basic Wage Dearness Allow. Total Daily Wages


Increase
Unskilled 2600.00 1563.13 4163.13 160.12
212.53
Semi-Skilled 2964.00 1781.97 4745.97 182.53
242.28
Skilled 3290.00 1977.97 5267.97 202.61
268.94
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