3℅ DA Hike

Cabinet approves additional instalment of three per cent DA to Central Government employees and Dearness Relief to Pensioners

Cabinet

Posted On: 01 OCT 2025

The Union Cabinet chaired by the Prime Minister Shri Narendra Modi today has approved to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f  01.07.2025 representing an increase of 3% over the existing rate of 55% of the Basic Pay/Pension, to compensate against price rise.

The combined impact on the exchequer on account of increase in both Dearness Allowance and Dearness Relief would be Rs.10083.96 crore per annum. This will benefit about 49.19 lakh Central Government employees and 68.72 lakh pensioners.

This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.

PIB

• Cabinet approves 3% hike in Dearness Allowance (DA) for Central Government employees effective 01 July 2025.

• Dearness Relief (DR) for pensioners also increased by 3%, raising the total to 58% of Basic Pay/Pension.
• Decision approved in the meeting chaired by Prime Minister Narendra Modi on 01 October 2025.
• Over 49.19 lakh employees and 68.72 lakh pensioners to benefit from the DA/DR hike.
• Total financial impact: ₹10,083.96 crore annually on the government exchequer.
• Hike implemented to offset inflation and price rise, following the 7th Central Pay Commission recommendations.
• New DA and DR rates aimed at enhancing income and social security for government employees and pensioners.

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Tamil Nadu Government Increases Dearness Allowance by 2% in Jan 2025

In line with the Central Government’s approval of a 2% Dearness Allowance (DA) hike, the Tamil Nadu Government has announced a 2% increase in Dearness Allowance for its employees, effective from January 1, 2025, Chief Minister M.K. Stalin said. This Dearness Allowance revision in Tamil Nadu 2025 will benefit over 16 lakh government employees, teachers, and pensioners across the State. The decision is expected to cost the Tamil Nadu State exchequer ₹1,252 crore annually, supporting the welfare of public sector workers and retirees.

தமிழ்நாடு அரசு, தனது ஊழியர்களுக்கான அகவிலைப்படி தொகையை 2% உயர்த்தியுள்ளது. இந்த உயர்வு 2025 ஜனவரி 1 முதல் அமலுக்கு வரும். இதனால் 16 லட்சம் அரசு ஊழியர்கள், ஆசிரியர்கள் மற்றும் ஓய்வூதியதாரர்கள் பயனடைவார்கள். ஆண்டுக்கு ரூ.1,252 கோடி செலவு அரசுக்கு ஏற்படும்.

Download Tamilnadu Government Employees DA Order Jan 2025 PDF

Tamil Nadu Govt hikes 2% DA for state government employees from Jan 2025

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Cabinet approves additional instalment of three percent of Dearness Allowance to Central Government employees and Dearness Relief to Pensioners

Posted On: 16 OCT 2024 3:21PM by PIB Delhi

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has approved an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2024 representing an increase of three percent (3%) over the existing rate of 50% of the Basic Pay/Pension, to compensate against price rise.

This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission. The combined impact on the exchequer on account of both DA and DR would be Rs.9,448.35 crore per annum.

This will benefit about 49.18 lakh central government employees and 64.89 lakh pensioners.

– PIB

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Table of Contents

The Dearness Allowance payable to the Gramin Dak Sevaks (GDS) will be enhanced from 46% to 50% of the Basic Time Related Continuity Allowance (TRCA) effective from January 1, 2024. This decision is in accordance with the grant of another installment of Dearness Allowance to Central Government Employees. The GDS will now receive Dearness Allowance on their basic TRCA at the same rates as applicable to Central Government Employees.

Payment of Dearness Allowance to GDS effective from Jan 2024 – Order

F.N. PP-14/1/2021-PAP
Government of India
Ministry of Communication
Department of Posts
(Establishment Division)/P.A.P. Section

Dak Bhawan, Sansad Marg,
New Delhi — 110 001.
Dated: 20th March, 2024.

To,
All Chief Postmasters General/ Postmasters General
Chief General Manager, BD Dte/Parcel Dte/ PLI Directorate
Director RAKNPA/ GM CEPT/ Directors of All PTCs,
Addl. Director General, Army Postal Service, R.K. Puram, New Delhi
All General Managers (Finance)/ DAP/ DDAP

Sub: Payment of Dearness Allowance to Gramin Dak Sevaks (GDS) effective from 01.01.2024 onwards -reg.

Consequent upon grant of another installment of Dearness Allowance with effect from 1st January, 2024 to the Central Government Employees vide Government of India, Ministry of Finance, Department of Expenditure’s O.M. No. 1/1/2024-E-Il (B) dated 12.03.2024, duly endorsed vide this Department’s letters No. PP-8/2/2021-PAP dated 13.03.2024, the Gramin Dak Sevaks (GDS) have also become entitled to the payment of Dearness Allowances on basic TRCA at the same rates as applicable to Central Government Employees with effect from 01.01.2024. It has, therefore, been decided that the Dearness Allowance payable to the Gramin Dak Sevaks shall be enhanced from 46% to 50% of the Basic Time Related Continuity Allowance (TRCA) with effect from the 1st January. 2024.

2. The expenditure on this account shall be debited to the Head “Salaries” under the relevant head of account and should be met from the sanctioned grant.
3. This sanction issues in exercise of the powers conferred on this Department in consultation with the Internal Finance Branch vide their Diary No. 197/ 2023-24/FA-CS(P) dated 19.03.2024.

(Rayi Pahwa)
Assistant Director General (GDS/PCC/AP)

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Cabinet approves additional instalment of 4% Dearness Allowance and Dearness Relief to Central Government employees and pensioners

49.18 lakh employees and 67.95 lakh pensioners to benefit

4% benefit to cost Rs.12,868.72 crore per annum to exchequer

The Union Cabinet chaired by Prime Minister Shri Narendra Modi approved to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 1.1.2024 representing an increase of 4% over the existing rate of 46% of the Basic Pay/Pension, to compensate against price rise.

 The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs.12,868.72 crore per annum.  This will benefit about 49.18 lakh Central Government employees and 67.95 lakh pensioners.

 This increase is in accordance with the accepted formula, which is based on the recommendations of the 7^th Central Pay Commission.

PIB

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Release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2023 representing an increase of 4% over the existing rate of 42% of the Basic Pay/Pension

DA Increase 4% to Central Government employees and pensioners from 01.07.2023

Existing DA 42% + Additional DA 4% = Increase in DA 46%

Cabinet approves release of an additional instalment of Dearness Allowance and Dearness Relief due from 01.07.2023

48.67 lakh Central Government Employees and 67.95 lakh pensioners to benefit

Posted On: 18 OCT 2023 3:24PM by PIB Delhi

The Union Cabinet, chaired by the Prime Minister, Shri Narendra Modi has approved to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2023 representing an increase of 4% over the existing rate of 42% of the Basic Pay/Pension, to compensate against price rise. This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.

4% DA Hike to Central Government Employees – Today Latest News – DA Hike Calculation

The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs.12,857 crore per annum. This will benefit about 48.67 lakh Central Government employees and 67.95 lakh pensioners.

PIB

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DA Latest News For Central Government Employees

38% + 4% = 42%

Cabinet approves release of an additional instalment of Dearness Allowance to Central Government employees and Dearness Relief to Pensioners, due from 01.01.2023

24 MAR 2023

The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, today has given its approval to release an additional instalment of Dearness Allowance to Central Governments employees and Dearness Relief to Pensioners with effect from 01.01.2023. The additional instalment will represent an increase of 4% over the existing rate of 38% of the Basic Pay/Pension, to compensate against price rise.

The combine impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs.12,815.60 crore per annum.

DA Hike Calculation

This will benefit about 47.58 lakh Central Governments employees and 69.76 lakh pensioners.

This increase is in accordance with the accepted formula which is based on the recommendations of the 7th Central Pay Commission.

PIB

Download Cabinet approves release of an additional instalment of Dearness Allowance to Central Government employees and Dearness Relief to Pensioners, due from 01.01.2023 PDF

4% Additional Dearness Allowance from 1st of January 2023.

The Consumer Price Index (IW-BY 2016=100) from July-December 2022 showed a 4% hike in Dearness Allowance, pushing the total to 42%.

7th CPC DA Table 2023

The Dearness Allowance is a major factor of income for state employees and pensioners in India. The DA table below shows how the allowance rate has risen from 0% to 42% between 2016 and 2023.

2023 DA Arrears for Central Government Staffs

Generally, Dearness Allowance increases are announced in March and September, and are implemented in January and July of the following year, respectively. As a result, Dearness Allowance will be paid in arrears for the first two months of each quarter. All Central Government employees, pensioners, and beneficiaries of family pensions will be subject to an additional 4% rise in the Dearness Allowance rate effective on January 1, 2023. By March 2023, existing CG employees would get a 42% Dearness Allowance, along with arrears for the months of January and February 2023. The Dearness Allowance or Dearness Relief will be calculated using the existing and retired employees’ respective basic pay or basic pension.

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DA Hike – Dearness Allowance for the first half of 2023. However, final numbers shall come by January 31 as the dearness allowance is decided based on AICPI (All India Consumer Price Index) index.

If the index of December 2022 remains constant, then the dearness allowance will increase by 3 per cent. In this context, the total dearness allowance will reach 41 per cent under the 7th Pay Commission.

DA Order July 2022 PDF – Revision of rates of Dearness Allowance to Central Government employees effective from 01.07.2022

Employees of the Central Government are given Dearness Allowances (DA) as a form of compensation to assist them in adjusting to the growing expense of living. It is determined as a percentage of the employee’s base pay, and it is updated frequently to ensure that its value is maintained despite inflation. The Consumer Price Index (CPI) and other economic factors are used by the Indian government to set the DA rates. Check the DA table below.

Expected DA from 1st Jan 2023

The current DA rate for Central Government employees is 38% and will remain until December 2022! Following that, the DA rate is likely to rise to 4%, as the government declared in March 2023. The expected DA rate in January 2023 will be 42%.

Expected DA 2023

DA Impact on Transport Allowance:

In General, the Dearness Allowance (DA) is increased, the rate of Transport Allowance (TA) will increase simultaneously. For example, if the extra DA rises by 4%, the TA will also go up by 4% from the employee’s basic pay. After the DA hike, an employee who is eligible for TA of Rs. 3600 will now receive Rs. 5112 per month.

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DA Hike 2023 for Tamil Nadu Government employees, Teachers, Pensioners and Family Pensioners PDF

Chief minister M K Stalin on Sunday announced a New Year gift for government employees and teachers, hike in Dearness Allowance DA from the existing 34% to 38%.

Accordingly, Dearness Allowance (DA) has been increased from 34 per cent to 38 per cent with effect from today.

16 lakh government employees, teachers, retired government personnel, and their families will benefit from the announcement. The CM issued a statement, calling on government workers to assist the government in effectively implementing its welfare programmes for all sections of the population. “Accept this announcement as the New Year gift to celebrate the beginning of the year 2023, and I appeal to them to extend their cooperation to the government to improve the living standard of the people,” the CM said.

Tamil Nadu Government employees DA hike 2022, Teachers, Pensioners, Family Pensioners and Pongal Gift for Group C and D employees

The government is willing to accept it for the benefit of the government employees even if it would result in an additional budgetary burden of Rs 2,359 crore. The order to raise the DA from 34% to 38% has been passed taking into mind the demands of the government employees, the announcement noted.

It further said the government was well aware of the government employees’ service and involvement in delivering the government welfare schemes to the people. Amidst the financial crisis, which was inherited by the present government from the previous government, the government continues its efforts to protect their welfare. It has been materalising several demands of the government employees in a phased manner.

The CM also stated that the government would constitute a panel under the Finance secretary to look into the teachers’ demand for equal pay for equal work. Based on the recommendation of the panel, the government would take appropriate measures.

Download DA Hike 2023 for Tamil Nadu Government employees, Teachers, Pensioners and Family Pensioners PDF

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Grant of Dearness Allowance to Central Government employees – Revised Rates effective from 1.7.2022

An order circulating on #WhatsApp claims that the additional installment of DA will be effective from 01.07.2022

PIBFactCheck

This order is #Fake
Department of Expenditure,
@FinMinIndia
has not issued any such order

PIB Fact-Check: As of July 1, Dearness Allowance increased by 4%. The centre calls the widespread WhatsApp false message

The PIB Fact Check declared on Thursday that a WhatsApp message alleging that the increased Dearness Allowance instalment for Central Government employees will take effect on July 1 of this year is “false.”

The order that has been spreading false information on WhatsApp over the past few days is fake, according to a tweet from PIB Fact Check that also includes a copy of the order. It claims that the additional instalment of Dearness Allowance would begin to be paid on July 1, 2022.

The Ministry of Finance has not issued this Order

Grant of Dearness Allowance to Central Government employees – Revised Rates effective from 1.7.2022

Dearness Allowance payable to Central Government employees shall be enhanced from the existing rate of 34% to 38% of the basic pay with effect from 1st July, 2022.

Cabinet approved 3% DA from Jan 2022 PDF

What was mentioned in the ‘fake’ DA order?

The “false” order, dated 20 September 2022, said that, “Starting on 1 July 2022, the Dearness Allowance provided to Central Government Employees shall be increased from the existing level of 34 to 38 percent of the basic pay.”

Social media is being used to spread a fake order that says the increased Dearness Allowance instalment for Central Government employees would begin on July 1 of this year.

Who is eligible for Dearness Allowance?

The Central government pays its employees a benefit known as a Dearness Allowance (DA) to make up for the loss in value of their monthly salaries and pension payments due to inflation. It is compensated in addition to the worker’s monthly base pay.

DA is updated twice a year, in January and July, and the revised allowance is announced in March and September of each year, accordingly.

DA is computed in accordance with the fact that the impact of inflation varies depending on the location of the government employee. As a result, depending on whether a person works in the urban, semi-urban, or rural sector, their DA fluctuates.

How is the DA hike will be calculated?

The 7th Pay Commission’s formula is used to determine how much DA/DR should be paid. The All India Consumer Price Index for Industrial Workers (CPI-IW), published by the Labour Bureau (Shimla), Ministry of Labour and Employment, currently regulates and calculates the DA on the rate of inflation.

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