7th Pay Commission: Big Diwali Gift for Government Employees! DA and DR Likely to Increase
National Desk: Ahead of the festive season in 2025, the central government is expected to make a big announcement for its employees. Reports suggest that Dearness Allowance (DA) and Dearness Relief (DR) may soon be hiked, which will benefit over 1.2 crore central government employees and pensioners.
Announcement Expected in October
The government may announce this decision in October. After the revision, DA is likely to increase from 55% to 58%, effective from July 2025. According to reports, employees and pensioners will also receive arrears for July, August, and September, which are expected to be paid along with the October salary.
How is DA Calculated?
The government revises DA twice a year, based on the Consumer Price Index for Industrial Workers (CPI-IW). For the period from July 2024 to June 2025, the average CPI-IW stood at 143.6, which corresponds to a 58% DA rate. This means DA will rise by 3% for the July–December 2025 cycle.
Example of Salary and Pension Hike
This hike will directly increase the salary and pension of employees:
- For an employee with a basic salary of ₹50,000, DA will rise from 55% to 58%, resulting in an increase of ₹1,500 per month.
- For a pensioner with a basic pension of ₹30,000, the increase will add ₹900 more every month.
