DA Hike 2026: Cabinet Approves 3% Increase
The revised rate of 63% will benefit 48.54 lakh Central Government employees and 68.71 lakh pensioners from July 1.
- Cabinet approves a 3% DA and DR increase.
- Rates rise from 60% to 63% of Basic Pay or Pension.
- Around 48.54 lakh employees and 68.71 lakh pensioners to benefit.
- Revised rates take effect from July 1, 2026.
GG News Bureau
New Delhi, 28th Oct: The Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday approved an additional 3% instalment of Dearness Allowance (DA) for Central Government employees and Dearness Relief (DR) for pensioners, effective July 1, 2026.
The increase raises DA and DR from the existing rate of 60% to 63% of Basic Pay or Pension. The decision aims to provide relief against rising prices and follows the accepted formula based on the recommendations of the 7th Central Pay Commission.
According to the government, the combined annual financial impact of the DA and DR increase on the exchequer will be ₹10,016.10 crore.
The decision is expected to benefit approximately 48.54 lakh Central Government employees and 68.71 lakh pensioners across the country.
The revised rates will apply retrospectively from July 1, 2026, in line with the Cabinet’s approval.
