7th CPC DA Hike: Good news has come regarding dearness allowance for central employees and pensioners. July 2025 can bring a big relief. According to the AICPI (All India Consumer Price Index) data from January to April 2025, Dearness Allowance has reached 57.47%. In such a situation, once again a big jump can be seen in the dearness allowance of the employees in the coming days.

According to the current trends, there can be a jump of up to 3 percent in dearness allowance. The data of two months is yet to come, after which the actual number will be known. Under the 7th Pay Commission, the DA of the employees will increase by 3% directly, which will take it to 58%.

AICPI index jumped

The numbers from the AICPI index decide how much the dearness allowance can increase. Based on the numbers between January and June 2025, it will be decided how much dearness allowance the employees will get from July 2025. So far, the numbers for January, February, March, April have come. The number for May will be released at the end of June. Let us tell you, till now the central employees coming under the 7th Pay Commission are getting 55 percent dearness allowance.

Now this dearness allowance will increase in July. In January, the index number was at 143.2 points, due to which the dearness allowance increased to 56.39 percent. After this, the index was at 142.8 points in February, 143 points in March and 143.5 points in April. On this pattern, dearness allowance has reached 56.72 percent, 57.09 percent and 57.47 percent by April.

Trend of AICPI and DA calculation

The AICPI index and DA score from January 2025 to April 2025 has been something like this.

month AICPI Index Estimated DA (%)

January 143.2 56.39%

February 142.8 56.72%

march 143.0 57.09%

april 143.5 57.47%

By April, DA has crossed 57%. If this trend continues in May-June, then DA can be considered to be 58% in July.

When will be the next revision in dearness allowance?

The next revision in Dearness Allowance (DA Hike) for employees is to be implemented from July 2025. But, it is announced by September or October. Actually, the June figure will come by the end of July. After this, it will be decided on this basis how much the increase is to be. After this, the file will reach the Finance Ministry from the Labor Bureau and then the Cabinet will approve it. After this, the increased DA will also be paid from the salary of the month in which the approval is received. The payment for the intervening months is made through arrears.

What will be the effect of 3% increase in DA?

Suppose the basic salary of an employee is Rs 30,000.

dearness allowance Percentage DA amount

Existing DA 55% Rs 16,500

New DA 58% Rs 17,400

Difference (Increase) Rs 900

That means the salary will increase by Rs 900 every month. The annual increase will be around Rs 10,800.

Impact of 8th Pay Commission on DA

The 8th Pay Commission is yet to be constituted. After this, the salary of the employees will be revised as per the recommendations. But, the role of dearness allowance will remain in the new pay commission as well. The government has clarified that the new pay commission will be implemented from January 1, 2026. In such a situation, it is believed that the dearness allowance will reach 61%. The calculation of allowances like DA and HRA on the new basic will be different, due to which a big jump in the net salary is possible.