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Union cabinet sanctioned a 3% DA hike for central government employees
Nearly one crore employees and pensioners will benefit from the increase
Revised allowance effective retrospectively from 1 July 2025
The Union Cabinet on Wednesday, October 1 cleared a 3 per cent hike in Dearness Allowance (DA) for central government employees and pensioners, a move that will benefit nearly one crore individuals across the country.
The revised allowance, which serves as a cost-of-living adjustment to offset inflation, will be effective from July 1, 2025. Dearness Allowance is revised twice a year—typically in January and July—based on changes in the Consumer Price Index (CPI) for industrial workers, which reflects inflation trends.
The latest revision is expected to provide finan