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Q: The basis of determining dearness allowance to employees in India is…………
  • A. National Income
  • B. Consumer Price Index
  • C. Standard of Living
  • D. Inflation Rate
Correct Answer: Option B - The CPI is mainly used for determining dearness allowance (DA) paid to central/state government employees and workers in the industrial sector besides fixation and revision of minimum wages in scheduled employments.
B. The CPI is mainly used for determining dearness allowance (DA) paid to central/state government employees and workers in the industrial sector besides fixation and revision of minimum wages in scheduled employments.

Explanations:

The CPI is mainly used for determining dearness allowance (DA) paid to central/state government employees and workers in the industrial sector besides fixation and revision of minimum wages in scheduled employments.