DA Hike: Great news for government workers and retirees! Just in time for Diwali, millions have received wonderful financial relief. Following Kerala’s lead, the Himachal Pradesh government has rolled out an impressive 5% boost to dearness allowance (DA Hike 2026). What’s more, Class-4 employees will get Rs 10,000 in back pay, which will land directly in their bank accounts on November 1st.
DA Increase by 5%
The government wants to make sure that during these challenging inflationary times, all employees can enjoy Diwali celebrations with their loved ones in comfort.
Chief Minister Sukhu Makes the Announcement
Himachal Pradesh Chief Minister Sukhwinder Singh Sukhu unveiled the DA increase on Friday. Breaking down how this 5% raise works, he shared that it combines 4% dearness allowance from the present year plus 1% back pay from the previous year.
government decision will directly benefit approximately 275,000 state government employees and pensioners. The Chief Minister stated that Class-4 employees are receiving an additional financial assistance of Rs 10,000 in the form of pension and pay revision arrears, in addition to the DA increase. During this, CM Sukhu also spoke candidly about the state’s current financial situation. He stated that the government is taking strict measures, such as cutting expenditures, to maintain fiscal discipline. This may impact some sections of society, but only through collective efforts will the system improve.
The state has a debt of Rs 99,000 crore
The Chief Minister categorically rejected the allegation that Himachal Pradesh is in debt of Rs 1.20 lakh crore. He clarified that Himachal’s total debt is currently around Rs 99,000 crore. However, he acknowledged the financial pressure on the state due to the discontinuation of the Revenue Deficit Grant (RDG) and said the government was taking interest-free loans to meet its needs. CM Sukhu expressed confidence that Himachal Pradesh would become completely self-sufficient in the health and education sectors by 2030.