More than 1 crore central employees and pensioners across the country can get some good news before Diwali. After the relief given to the common man in GST, now these employees are eagerly waiting for the increased Dearness Allowance (DA) and Dearness Relief (DR). Looking at the recent inflation rate figures and the recommendations of the Seventh Pay Commission, it is almost certain that the government may soon announce a 3% increase in DA and DR. Let us know what effect this decision will have on your salary and pension.
Now, 58% DA / DR is certain
The central government increases DA and DR twice a year. The first increase is effective from January 1, and the second from July 1. Recently, in March 2025, a 2% increase in DA / DR was approved, which increased the rate from 53% to 55%. Now, if there is an increase of 3% this time, then this rate will increase to 58%. Along with this increase, employees and pensioners will also get the arrears of July, August, and September, which will come directly into their accounts.
How much will the salary and pension increase
This increase will directly increase the salary and pension of employees and pensioners. For example, if the minimum basic salary of an employee is ₹ 18,000, then his monthly DA is ₹ 9,900 (at the rate of 55%). After a 3% increase, it will become ₹ 10,440, which will increase his total salary by ₹ 540. Similarly, a pensioner getting a basic pension of ₹ 9,000 is currently getting ₹ 4,950 DR. This will increase to ₹ 5,220, which will increase his pension by ₹ 270 every month.
When can the announcement be made
According to media reports, this announcement can be made in late September 2025 or early October 2025. This move of the government will give big financial relief to employees and pensioners during the festive season. This increase will increase their spending capacity, which will also create a positive atmosphere in the market. This decision will prove to be a booster dose not only for the employees but also for the entire economy.