The central government decided to increase the dearness allowance (DA) and dearness relief (DR) by 2% for government employees and pensioners on March 28. This decision was taken in the cabinet meeting chaired by Prime Minister Narendra Modi. This increase will come into effect from January 1, 2025, which will benefit more than 1 crore employees and pensioners.
When will employees get DA arrears
This time the announcement of the increase in DA has been a bit late. Usually, the government makes this announcement before Holi or Diwali, but this time the increase for January-June was announced in March-end.
This means that not only will the increased DA be available in the salary and pension of the month of April, but arrears from January to March 2025 will also be given. That is, the employees will get the outstanding money for three months together.
Also read: Govt announces 2% DA hike for central govt employees! Know how much salary will increase
Lowest DA increase for central govt employees in last 7 years
This time DA has increased by only 2%, which is the lowest in the last 7 years. Usually, the government has been increasing by 3% or 4%, but this time it was limited to only 2%.
Earlier, the government had increased DA from 50% to 53% for July-December 2024. Now it will become 55%.
How much will the salary and pension increase?
Under the 7th Pay Commission, the minimum basic salary of a central government employee is Rs 18,000. This 2% hike in DA will translate into Rs 360 more per month, which means the arrears for three months (January to March 2025) come to Rs 1,080.
For pensioners getting the minimum basic salary of Rs 9,000, the arrears amount will be Rs 540, which will be given with the pension for April 2025.
First DA hike after the 8th Pay Commission
This DA hike is the first after the announcement of the 8th Pay Commission. The government had announced the formation of the 8th Pay Commission on January 16, 2025, whose recommendations will come into effect from January 1, 2026.
It usually takes 1 year to prepare the recommendations of the Pay Commission, so the DA hike for July-December 2025,
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