As the festival of lights approaches, the government has announced a much-awaited gift for its employees and pensioners. Dearness Allowance (DA) and Dearness Relief (DR) are set to rise, giving lakhs of families extra financial support right before Diwali.
The New DA Rate
Currently, central government employees and pensioners receive 55% DA/DR on their basic pay or pension. With the latest revision, this figure will now increase by about 3%, taking the rate to 58%. The hike will be effective from 1 July 2025, which means arrears for July, August, and September will also be paid.
What It Means for Employees
The DA hike will directly increase monthly salaries and pensions. Here’s an approximate look at how much extra employees and pensioners can expect after the hike:
| Basic Pay / Pension | Old DA @ 55% | New DA @ 58% | Monthly Increase |
|---|---|---|---|
| ₹20,000 | ₹11,000 | ₹11,600 | ₹600 |
| ₹30,000 | ₹16,500 | ₹17,400 | ₹900 |
| ₹40,000 | ₹22,000 | ₹23,200 | ₹1,200 |
| ₹50,000 | ₹27,500 | ₹29,000 | ₹1,500 |
| ₹60,000 | ₹33,000 | ₹34,800 | ₹1,800 |
Why This Matters
DA and DR are revised twice a year based on inflation to help employees and pensioners cope with the rising cost of living. This festive revision ensures timely relief and boosts disposable income just before Diwali, making it easier for families to plan celebrations, shopping, and travel.
Bottom Line
The upcoming DA revision from 55% to 58% is a true Diwali gift. With arrears included, central government employees and pensioners will see a welcome increase in their monthly earnings. This timely move brings festive cheer to millions of households across the country.
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