New Delhi. Big news is coming out regarding Dearness Allowance (DA) and Dearness Relief (DR) for central employees and pensioners. There is a possibility of 3 percent increase in DA/DR from July 2026. If the government approves this proposal, the existing 60 percent DA may increase to 63 percent.
About 49 lakh central employees and 69 lakh pensioners will be directly affected by this decision. If approved, the benefit of the increased rate is expected to be available from July 1, 2026. If the decision is delayed, employees may also get arrears from July.
DA will be more than 50 percent, but no merger
With the increase in DA, a question is again under discussion whether it will be included in the basic salary. The government has already made it clear that at present there is no plan to merge DA with the basic pay. In such a situation, even if DA is 63 percent, there is a possibility of getting it as a separate allowance only.
Another big demand of employees
Employee organizations are demanding changes in the way DA is calculated. He says that to quickly cover the impact of inflation, DA should be calculated every three months instead of six months. Besides, demand for payment on the basis of actual figures is also being raised instead of rounding off the decimal rate.
At present, central employees and pensioners are waiting for the official decision of the government regarding 3 percent DA/DR increase. If approved, the increased rate may be implemented from July 2026.
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