8th Pay Commission: Central employees are eagerly awaiting the increase in their dearness allowance (DA). The central government is expected to announce a DA hike soon, which would be a significant gift. The DA could be increased by up to 3% in the first half of 2026.
This announcement is expected after Holi, which is sure to bring good fortune to central employees. The increased DA rates will be effective from January 1, 2026. Although the government has not officially announced any changes, media reports are making similar claims.
By how much will the DA increase?
After Holi, the central government may increase the DA by up to 3%. This will increase the DA to 61%. Currently, central employees receive a 58% DA. The 3% DA increase will bring a significant increase in salaries, which will be significant.
More than 1 crore employees and pensioners will benefit from this. If a central government employee’s salary is Rs 30,000, then at the rate of 3% DA, they will see an increase of Rs 900 per month. This translates into an annual salary increase of Rs 10,800. This amount will serve as a booster.
When will the rates be implemented?
The 3% increase in DA for central government employees will be effective from January 1, 2026. Previously, the government had only increased DA by 3%. The government increases DA twice every year. Its rates are considered effective from January 1 to July 1, which is considered a major gift. Meanwhile, all employees are now awaiting the implementation of the 8th Pay Commission.
When will the new Pay Commission be implemented?
There is confusion about when the central government will implement the 8th Pay Commission. The government has provided an office in Delhi for the Commission’s committee. The review work will now begin.
The government has given 18 months to prepare the recommendations. Three months have already passed. Consequently, it is speculated that the government may implement the 8th Pay Commission’s recommendations by mid-2027.
DA will be increased based on the 7th Pay Commission.
The 7th Pay Commission completed its ten-year term on December 31, 2025. Based on the previous commission, the 7th Pay Commission should also be valid for ten years. However, the 8th Pay Commission has not yet been implemented. Therefore, the DA for the first half of 2026 will be increased based on the 7th Pay Commission.
The government has given 18 months to prepare the recommendations. Three months have already passed. Therefore, it is speculated that the government may implement the 8th Pay Commission’s recommendations by mid-2027.