AICPIN for February 2014 and Expected DA from July 2014
As we said in the previous article on Expected dearness allowance from July 2014, we have only three probabilities to arrive the rate of DA payable from July 2014. one of these is ‘if AICPIN moves between plus or minus 2 points the expected DA will be 105 % from July 2014′. Now according to the press release issued by the Labour Bureau, Ministry of Labour & Employment, the AICPIN for the Month of February increased by 1 point and pegged at 238 points.
It should further be noted that some reports on commodity Index suggest that the prices of basket of essential commodities will have some increase until the summer season ends. Subsequently the impact of price rise will cause increase in AICPIN for Industrial Workers. So it can be expected that the AICPIN for remaining four months also would continue with same increasing trend. If this happens for the remaining four months the Expected DA will be from 105% to 107%.
Ministry of Labour & Employment
Consumer Price Index Numbers for Industrial Workers (CPI-IW)- February 2014
According to a press release issued by the Labour Bureau, Ministry of Labour & Employment the All-India CPI-IW for February, 2014 increased by 1 points and pegged at 238 (two hundred and thirty Eight). On 1-month percentage change, it increased by 0.42 per cent between January, 2014 and February, 2014 compared with the rise of 0.90 per cent between the same two months a year ago.
The largest upward pressure to the change in current index came from Miscellaneous group contributing 0.34 percentage points to the total change. At item level, Rice, Wheat, Moong Dal, Fish Fresh, Goat Meat, Milk (Cow & Buffalo), Pure Ghee, Medicine, Barber Charges, etc. are responsible for the increase in index. However, this increase was restricted to some extent by Arhar Dal, Ground Nut Oil, Onion, Vegetable & Fruit items, Sugar etc. putting downward pressure on the index.
The year-on-year inflation measured by monthly CPI-IW stood at 6.73 per cent for February, 2014, as compared to 7.24 per cent for the previous month and 12.06 per cent during the corresponding month of the previous year. Similarly, the Food inflation stood at 7.56 per cent against 8.94 per cent of the previous month and 14.98 per cent during the corresponding month of the previous year.
At centre level, Quilon recorded the highest increase of 9 points each followed by Tiruchirapally & Conoor (6 Points each) and Lucknow (5 points). Among others, 4 points rise was registered in 3 centres, 3 points in 2 centres, 2 points in 8 centres and 1 points in 10 centres. On the contrary, Chhindwara reported a decline of 5 points followed by Rourkela & Ajmer (4 points each), 3 points decline was observed in 6 centres, 2 points in 10 centres and 1 point in 12 centres. Rest of the 20 centres’ indices remained stationary.
The indices of 36 centres are above All-India Index and other 42 centres’ indices are below national average. The index of Bhilwara centre remained at par with all-India index.
The next index of CPI-IW for the month of March, 2014 will be released on Wednesday, 30 April, 2014. The same will also be available on the office website www.labourbureau.gov.in.