Cabinet Approves 3% DA Hike – Dearness Allowance Now 58% for Central Govt Employees

Updated: October 1, 2025

In a major relief to government employees and pensioners, the Union Cabinet has approved a 3% hike in Dearness Allowance (DA). With this decision, the DA has increased from 55% to 58%, benefiting millions of Central Government employees and retirees across India.

Key Highlights of the DA Hike

• DA increased by 3% – from 55% to 58%.
• Applicable to Central Government employees and pensioners.
• Effective Date: Immediate implementation with next salary cycle.
• This hike comes under the 7th Pay Commission framework.

Why This DA Hike Matters

Dearness Allowance is revised twice a year to offset the impact of inflation on employees’ purchasing power. The 3% increase will provide additional financial support to families as the festive season approaches.

Expected Payment of Arrears

The DA hike is expected to be paid along with the October 2025 salary. Pensioners will also receive revised Dearness Relief (DR) at the same rate.

Official Statement

A senior government official confirmed: “The Cabinet decision reflects the government’s commitment to safeguard the interests of employees and pensioners amid inflationary pressures.”

What Employees Should Know

Employees should check the official notification from the Ministry of Finance once released. Salary slips and pension slips for October 2025 will reflect the updated DA rate of 58%.

Frequently Asked Questions (FAQs)

Q1. What is the new DA percentage for Central Government employees?

Answer: The DA has been increased from 55% to 58% after the latest 3% hike.

Q2. When will the new DA be implemented?

Answer: The hike will be applicable from October 2025 salary and pension payments.

Q3. Does the DA hike apply to pensioners?

Answer: Yes, pensioners will also get the increased Dearness Relief (DR) at 58%.

Q4. Under which pay commission is this DA revision?

Answer: This DA hike is under the 7th Pay Commission framework.

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