Central Government May Announce DA Hike Before Holi, Benefiting Millions of Employees and Pensioners. Learn about the potential increase, announcement date, and impact on salaries.
DA Hike Update: The central government may be preparing a significant gift for its employees before Holi. Discussions regarding a Dearness Allowance (DA) increase are intensifying. Sources suggest the government may soon announce a DA hike, benefiting millions of government employees and pensioners. While no official confirmation is available, a 2% increase in DA is anticipated. Previously, a 3% increase was expected, but recent data has cast doubt on this higher figure.
Announcement Possibly in the First Week of March
Government employees may receive good news before Holi. Reports indicate the government might announce the DA hike in the first week of March. If this happens, it will be a substantial benefit for employees.
Pensioners may also receive relief, as Dearness Relief (DR) might also increase.
DA Revision Every Six Months
The government revises the Dearness Allowance twice a year—once in January and again in July. The announcement for the DA increase applicable from January is usually made in March, and the July increase is announced in September. News regarding the DA hike applicable from January of this year has circulated in the media, but the government hasn't yet issued an official statement.
How is the DA Rate Determined?
The Dearness Allowance calculation depends on the All India Consumer Price Index for Industrial Workers (AICPIN-IW). This index considers nationwide inflation and consumer product prices. The government bases its DA increase decision on the average data from the past six months.
2% or 3%? How Much Will the DA Increase?
According to reports released by the Labor Bureau, the CPI-IW reached 143.7 points in December 2024. Based on this, it is estimated that the Dearness Allowance might increase by up to 2%. While some reports previously indicated a 3% increase, new data suggests it may be limited to 2%.
How Much Will Salaries Increase?
Currently, the Dearness Allowance for central government employees is 53.98%. If the government implements a 2% increase, it will rise to 55.98%. This will result in salary increases for millions of government employees, and pensioners will also benefit.
When Might the Government Make an Official Announcement?
It is anticipated that the government may announce the DA hike in the first or second week of March. If this occurs, government employees and pensioners will receive a significant gift before Holi. However, no official statement has been released by the government, so employees must await the final announcement.
