DA Hike: 5% DA Hike is confirm? Quick updates on arrears and salary

8th Pay Commission: The Eighth Central Pay Commission is set to kick off on January 1, 2026, but over 10 million central employees and pensioners will still be getting their salaries and allowances based on the Seventh Pay Commission. The government gave the green light to the commission’s Terms of Reference (ToR) back in October, but it might take around 18 months for the panel to roll out its recommendations. So, it looks like we’ll have to wait a bit longer for the new salary structure and allowance changes to actually take effect.

Relief can be given on DA

In the meantime, there might be some good news for employees regarding their dearness allowance (DA). The Labor Ministry has kept the AICPI-IW index for December steady at 148.2, which is what they use to figure out DA. Because of this, a 5 percent bump in DA could push it up to 63%. The last DA increase happened in July, moving from 54% to 58%. There’s a belief that the central government might announce a DA increase in early March, just before Holi. If that happens, employees could see their April paycheck along with any back pay from January 2026.

The meeting will be held on February 25

The office for the Eighth Pay Commission has also been set up in New Delhi. On February 25th, different employee organizations will gather in the capital to talk about pay revisions, fitment factors, minimum wages, allowances, and service conditions. They’ll prepare a joint memorandum under the National Council (Employee Side) Joint Consultative Mechanism, which will then be sent to the Commission. Representatives from various departments, including Railways, Defense, Posts, and Income Tax, will be involved.

Official website also launched

The government recently launched the Commission’s official website, www.8cpc.gov.in, where employees and pensioners can submit their suggestions. The All India NPS Employees Federation has launched a nationwide campaign demanding that the Commission submit its report within 200 days. The Federation has demanded uniform and simultaneous implementation of rules across the Center and Union Territories, as well as revision of basic pay and DA in states in line with the Center’s. All eyes are now on the Commission’s recommendations and the government’s next decision.

Workers’ union demands

Employee groups are saying that inflation keeps going up, and just a small DA hike isn’t enough; they really need bigger increases in the fitment factor and minimum wage. They believe that the fitment factor set by the Seventh Pay Commission just doesn’t cut it anymore given the current economy. Plus, they want pensioners to get the same benefits without any hold-ups. It’ll be interesting to see how the 8th Pay Commission responds to these requests and what kind of relief the government offers to workers.