DA Hike Update: Good news for govt employees, Dearness allowance may increase by 4% under 7th Pay Commission suggested by reports. WThe 8th Pay Commission will come into effect from January 1, 2026.
Central government employees may soon announce a good news on Dearness Allowance (DA). Dearness allowance for Central Government is likely to be hiked by 4% in the next DA hike.
This will be the final DA hike under the 7th Pay Commission. As per the reports 8th Pay Commission expected to come into effect from January 1, 2026.
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Last DA Hike under 7th Pay Commission
Last 2% hike was announced for the January–June 2025 period, next DA revision allowance soon to be announced. For July- December 2025 period, expected DA hike for central government emplyees is 4% with which central government employees will get upto 59% DA.
How much DA increase is expected in the second half of 2025
The expected 4% DA hike is based on the All-India Consumer Price Index for Industrial Workers (AICPI-IW). The index rose to 143.5 in April 2025 from 143.2 in January. If the CPI-IW numbers for May and June continue this uprise pattern, a 4% DA hike is likely to be given to all the central government employees.
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Labour Bureau under the Ministry of Labour and Employment releases the Consumer Price Index for Industrial Workers on monthly basis. The index is based on retail price data collected from 317 markets across 88 major industrial centers in India.
Government approved the 8th pay commission which is expected to be effective from next year. Until then this will be the final DA hike under the 7th pay commission.
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