• Source:JND

DA Hike News: Central government employees are awaiting a hike in their dearness allowance. Even after the 7th Pay Commission expired in December 2025, DA can be increased through this same Pay Commission, as the 8th Pay Commission has not yet been implemented. If DA is increased, TA (travel allowance) will also increase, as both complement each other.

The amount of the dearness allowance hike will be determined by data from the Consumer Price Index for Industrial Workers. The release of the All-India Consumer Price Index for Industrial Workers (AICPI-IW) data for December 2025 is eagerly awaited by the Ministry of Labour and Employment .

How Much Can DA Increase?

Central government employees' DA is increased twice a year. The first revision occurs in January and the second in July. The government has not yet made any official announcement regarding the DA hike. However, if the DA hike occurs, benefits will be available starting in January. If the DA hike is announced in February, central government employees will also receive arrears.

The central government increased the DA from 55 per cent to 58 per cent in July 2025. A 3 per cent increase would increase the DA to 61 per cent, and a 5 per cent increase would increase it to 65 per cent. It is possible that the government may increase the DA by up to 5 per cent.

Suppose your basic salary is currently Rs 10,000 and your DA is Rs 5,800. If my DA increases by 5 per cent, it will become 63 per cent, making my revised DA Rs 6,300. This means my salary will increase by Rs 500.

If DA Increases, TA May Also Increase

Any increase in DA will also result in an increase in the transport allowance. This will directly benefit 50.14 lakh central government employees and approximately 69 lakh pensioners. The DA increase affects only the transport allowance. Other benefits, such as house rent allowance (HRA), change only when the basic salary is revised.

Basic salaries are usually revised through the fitment factor suggested by the Pay Commission, and the next revision is expected in July 2028 when the 8th CPC submits its report.

How Is DA Hike Calculated?

The formula for increase in DA is given below.

DA (per cent) = [{(Last 12 months average AICPI-IW × 2.88) − 261.41} / 261.41] × 100 − Current DA (per cent)

148.2 × 2.88 = 426.81

426.81 - 261.41 = 165.4

165.4 ÷ 261.41 = 0.63

0.63 × 100 = 63.00

63 - 58 = 5 per cent

That means, according to this, an increase of 5 per cent is expected.


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