Ahead of the Eighth Pay Commission, over 49 lakh central government employees and over 68 lakh pensioners are waiting for a hike in their Dearness Allowance (DA) and Dearness Relief (DR). The final increase in DA for the financial year 2025-26 was originally supposed to be announced in January 2026, but it is continuously getting delayed. January passed, then February, and then March. Ten days have passed since April, still no increase in DA has been announced. Now, two big news have come out about this situation. One news is related to the delay in the announcement—a situation that looks like a crisis—while the other big news is that employee organizations have written letters to Finance Minister Nirmala Sitharaman on this matter. This second news shows a ray of hope and relief.
In fact, amid growing concern among employees and pensioners over the record-breaking delay by the Central Government in announcing Dearness Allowance (DA) and Dearness Relief (DR), two organizations—CCGAW (Confederation of Central Government Employees and Workers) and AINPSEF (All India NPS Employees Federation)—have written letters to Finance Minister Nirmala Sitharaman. He has appealed to the Finance Minister to intervene in this matter and announce the increase in DA as soon as possible.
What did both the organizations write in their letters?
All India NPS Employees Federation President Manjit Singh Patel told NDTV that on behalf of the organization, he has raised a serious concern in a letter written to the Finance Minister. He said this delay has created a fear in the minds of employees that, just like during the COVID-19 era, dearness allowance may once again be “frozen”. This is having a negative impact on the morale of the employees.
Meanwhile, CCGAW general secretary S.B. Yadav said in his letter: “Normally, the announcement regarding DA/DR—which comes into effect from January—is made by the last week of March, and the arrears of three months are received in the first week of April. However, this time the absence of any announcement till now has created an atmosphere of deep dissatisfaction and apprehension among the employees and pensioners.”
For the first time in 15 years: Could elections be the reason?
Manjit Singh Patel said, “In the last 15 years, it has never happened that the Dearness Allowance (DA) received in January has not been released till April. Even now, even after so many days have passed in April, no announcement has been made regarding the Dearness Allowance. Employees and pensioners fear that DA may be stopped. If this happens, it will have a bad impact on the morale of the employees. Apart from this, there is also a perception among the employees that the situation in West Bengal and Assam is Assembly elections could be the reason for this delay.” Patel has urged Union Finance Minister Sitharaman to issue DA with immediate effect to boost the morale of the employees and strengthen their trust in the government.
What is the reason for the delay? How much will DA increase?
Usually, the government announces DA hike on the occasion of festivals like Holi or Diwali. In 2025, the announcement was made 14 days after Holi—specifically on March 28. Experts believe that the delay this time does not mean any change in the government’s policy. According to experts, administrative processes are being considered as the possible reason for this delay. He says that the time taken in the approval process and necessary paperwork could be the reason for this delay. Additionally, the need to coordinate administrative processes with the steps being taken towards setting up the 8th Pay Commission may also take a little longer for the announcement.
Talking about the current DA, central government employees are currently getting 58% of their basic salary as dearness allowance. According to AICPI-IW data, a 2% increase in DA is considered certain from January 2026, due to which this rate will increase to 60%. The relief for employees is that, irrespective of when the announcement is made, both employees and pensioners will be given full arrears from January 2026 onwards. At present, all eyes are on the next decision of the cabinet.