Good News from Government
The central government has given a big gift to nearly one crore employees and pensioners. On October 28, 2025, the Cabinet approved a 3 percent hike in Dearness Allowance (DA) for central government staff. This will start from November 2025. The new DA rate will go up from 56 percent to 59 percent of basic pay. This move will help workers fight rising prices of daily items.
Who Will Get This Benefit
This hike is for all central government employees, including those in railways, post office, and armed forces. Even pensioners will get Dearness Relief (DR) at the same rate. Around 50 lakh employees and 50 lakh pensioners will see more money in their salary or pension from next month. State governments may also follow this step soon.
How Much Extra Money
The extra cash depends on basic pay. Here is a simple table to understand:
| Basic Pay (per month) | Old DA (56%) | New DA (59%) | Extra Amount |
|---|---|---|---|
| ₹18,000 | ₹10,080 | ₹10,620 | ₹540 |
| ₹35,000 | ₹19,600 | ₹20,650 | ₹1,050 |
| ₹56,900 | ₹31,864 | ₹33,571 | ₹1,707 |
This table shows hike for Grade Pay levels. Higher pay means more benefit. Arrears for July to October 2025 will come with November salary.
Why DA Keeps Changing
Dearness Allowance is linked to inflation. Every six months, government checks All India Consumer Price Index (AICPI) numbers. From January to June 2025, prices rose fast. So, experts expected a 3 to 4 percent hike. This time, it is 3 percent, matching the rise in cost of living. It helps workers buy same things without cutting budget.
Happy Faces Everywhere
Trade unions and employee groups are very happy. “This is timely help before Diwali,” said Shiv Gopal Mishra from National Council of Joint Consultative Machinery. Many workers say the extra money will cover school fees, medical bills, or festival shopping. Pensioners feel safe as their fixed income now matches market rates better.
What Next
This is the second hike in 2025. In March, DA went up by 4 percent. With two hikes, total DA has risen 7 percent this year. Next review will come in March 2026. Government spends around ₹9,000 crore extra every year for each percent hike. But it keeps employees motivated and economy moving. Workers now wait for salary credit with big smiles.