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DA Hike : This Diwali will be special for central government employees and pensioners. The government may give employees two pieces of good news. First, the government may increase dearness allowance (DA) by three percent.
Second, updates may come regarding steps being taken towards the 8th Pay Commission. The government may announce a 3 percent DA increase in October 2025. Currently, employees and pensioners receive 55 percent DA. After the government’s increase, this will increase to 58 percent.
1.2 crore people will get benefit
This increase will directly benefit over 12 million employees and pensioners. The salary increase will also increase spending power during the festive season. This is why the government often provides relief to employees around Dussehra and Diwali.
DA revision is done twice a year.
from January to June
from July to December
In March 2025, the government increased the DA by 2 percent for the January-June period. This increased the DA from 53 percent to 55 percent. Now, a 3 percent increase is being considered for the July-December period.
What will be the impact on pension?
DA directly impacts salary and pension because it is calculated based on basic salary or basic pension. For example, if a pensioner’s basic pension is ₹9,000, they currently receive ₹4,950 at 55% DA, resulting in a total pension of ₹13,950. If DA were increased to 58%, the DA would increase to ₹5,220, bringing the total pension to ₹14,220. This means a benefit of approximately ₹270.
Why is this increase special?
The festive bonus, salary, and DA increase bring relief to employees and pensioners. In the current era of inflation, this increase will not only provide some relief to their pockets but also increase their spending capacity. This government move could prove to be good news for employees and pensioners ahead of the festive season.
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