Government employees to receive DA of Rs 10,080 every month – Here's what you need to know

As 2025 approaches, central government employees are eagerly awaiting a major update regarding the dearness allowance (DA) revision. With the new year on the horizon, many are wondering whether the central government will increase the DA in January, and what impact this will have on their monthly earnings.

According to the All-India Consumer Price Index (AICPI) data, the dearness allowance is expected to reach 56% in January 2025. This means that central government employees could see a significant increase in their monthly DA. But how is this calculation made?

The DA is calculated as a percentage of an employee's basic pay. Based on the 7th Pay Commission's pay grade, employees with the minimum basic pay will receive an additional Rs 6,480 per year. For example, if an employee's basic pay is Rs 18,000, the dearness allowance at 56% would be calculated as follows:

DA from January 2025:
18,000 x 56% = Rs 10,080 per month.

In comparison, the DA for the period from July 2024 will be at 53%, which means the calculation for the same basic pay would be:

DA from July 2024:
18,000 x 53% = Rs 9,540 per month.