Modi Govt Brings Cheer: DA Hike Announced for Central Employees

In a move set to benefit over 1 crore central employees and pensioners, the Modi government has greenlit a Dearness Allowance (DA) hike aligned with the 7th Pay Commission recommendations, effective as of March 28, 2025. The announcement, which spells out a significant jump in DA to counter escalating expenses, has sparked widespread relief and gratitude among the government workforce

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Madhulika Rai

Last Updated : Friday, 28 March 2025

Courtesy: Pinterest and Wikipedia

The Union Cabinet on Friday gave approval for a 2% hike in dearness allowance (DA) for government employees. DA will rise from 53% to 55% with this amendment. The Union Cabinet on Friday gave approval for a 2% hike in dearness allowance (DA) in the central government employees' pay. DA will rise from 53% to 55% with this amendment, raising the employees' salary even before the estimated 8th Pay Commission. The most recent raise occurred in July 2024 when DA was raised from 50% to 53%

What is DA?
Dearness Allowance (DA) is a monetary allowance offered to government employees for covering inflation and maintaining their salary equal to the increasing cost of living. Although the basic pay is fixed by the Pay Commission after every 10 years, DA is responsible for making regular adjustments to enable the employees to cover inflation.

Let us tell you that this increase has happened under the Seventh Pay Commission. The government has also constituted the Eighth Pay Commission. The recommendations of the new Pay Commission are expected to be implemented from January 2026.

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