DA Hike: Big news for employees. Following the Central Government’s lead, several states are now raising the dearness allowance (DA) for their employees. In this context, the Gujarat government has also enhanced the DA for its staff. Ahead of Diwali, the Gujarat government approved a 3% hike in the dearness allowance for its employees.
This decision was made during the state government’s cabinet meeting held in Wednesday. An official announcement from the government is expected shortly. This move is anticipated to benefit millions of state government employees and pensioners. It is important to note that, in addition to Gujarat, other states have also increased the DA.
Punjab government also announces increase
Furthermore, Punjab Chief Minister Bhagwant Singh Mann declared a three percent rise in DA and DR for approximately 800,000 government employees and pensioners in the state. This raises the DA rate in Punjab to 53 percent. The increased allowance will take effect from 1 November and will be reflected in the salaries and pensions paid in December.
The Chief Minister stated that when his government came to power in 2022, employees were receiving a 28 percent dearness allowance, which has now risen to 53 percent. Following an eight percent hike announced in September, a total increase of 11 percent has been made within two months. He claimed that this is the first instance of any government raising the dearness allowance so significantly in such a short span.
Rajasthan government also grants increase
The Rajasthan government has approved a three percent rise in the DA for state employees and DR for pensioners. This increase will raise the dearness allowance and dearness relief from 60 percent to 63 percent, benefiting over 700,000 employees and more than 500,000 pensioners in the state.
Under the Seventh Pay Commission, the enhanced dearness allowance and dearness relief will be payable to state employees and pensioners from 1 July 2026. The cash payment of the increased dearness allowance will be made to employees in December along with the November salary.
Announcements in Madhya Pradesh and Chhattisgarh too
Madhya Pradesh Chief Minister Mohan Yadav announced a two percent increase in the DA for state government officials, employees, and pensioners. An official noted that employees will start receiving the increased dearness allowance from January 2026, while pensioners will receive the enhanced dearness relief from July 2026. The Chhattisgarh government has also declared a 2 percent increase in DA.
It is worth mentioning that the central government has also raised the DA by 3 percent. Following this increase, the DA has reached 63 percent. This hike has been effective since July.