7th Pay Commission: If you are a central government employee then this news is useful for you. Actually, this time central government employees are expecting a big increase in dearness allowance (DA) as compared to the previous half year. Let us tell you that the allowance was increased by 2% between January to June in the first half of the current calendar year. After this increase, the allowance is currently 55%. Now the allowance for the second half i.e. from July to December will be announced. This announcement is expected by September or October.
Last hike under 7th Pay Commission
This will be the last increase in dearness allowance under the 7th Pay Commission. We are saying this because the recommendations of the 8th Pay Commission will be implemented from January 1, 2026. However, the committee for the 8th Pay Commission has not been formed yet. In January this year, the government approved the formation of the Pay Commission.
How much growth is estimated in the second half
The All India Consumer Price Index (AICPI-IW) for industrial workers has registered an increase of 0.5 points in the month of April, which has raised hopes of a good increase for the employees. The AICPI-IW index increased to 143.5 in April 2025, which is more than the 143.2 recorded in January 2025. The special thing is that this is the second consecutive month when the index has seen an increase.
Earlier there was a decline in January and February 2025. Now if the CPI-IW figures for May and June also increase, then the allowance of central government employees may increase by 3 or 4 percent.
Let us tell you that the Labor Bureau, which comes under the Ministry of Labor and Employment, releases the Consumer Price Index for industrial workers every month by collecting retail prices from 317 markets spread across 88 major industrial centers of the country.