A 3% Dearness Allowance hike for central government employees and pensioners might be announced before Diwali. This increase is calculated based on the CPI-IW index.
Good news for central government employees and pensioners before Diwali. A 3% Dearness Allowance (DA) hike is expected for the July-December 2025 period, raising it from 55% to 58%.
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Pensioner Increase
DA is revised twice a year. In March 2025, a 2% hike for Jan-June raised DA from 53% to 55%. Now, another 3% hike is expected for the July-December 2025 period.
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DA Hike 2025
A pensioner with a basic pension of ₹9,000 gets ₹4,950 at 55% DA. At 58%, it becomes ₹5,220, a monthly increase of ₹270, bringing the total pension to ₹14,220.
An employee with a basic salary of ₹18,000 will see their pay rise to ₹28,440 with a 58% DA, a monthly benefit of ₹540. The DA hike is based on the CPI-IW index.
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Central Government Employee Salary
No official announcement has been made, but it usually comes after Navaratri and before Diwali. This 3% hike is expected as a Diwali gift for employees and pensioners.