Good news for central government employees and pensioners
About 1 crore central employees and pensioners of the country are going to get a big relief soon. For July 2025, the increase in dearness allowance – DA and dearness relief (DR) is expected to be announced soon. This increase will be done for the last time under the 7th Pay Commission, as this commission is ending in December 2025.
This will be the final salary amendment under the 7th Pay Commission implemented from January 2016, which will provide direct benefits to about 33 lakh employees and 66 lakh pensioners. The allowance usually applies from July but it is paid in October i.e. before the season of exact festivals.
2% increase was found in March
In March 2025, the government increased DA from 2% to 55% of the basic salary, which came into effect from January 2025. This increase is done on the basis of the Consumer Price Index (CPI-IW), which reflects changes in the prices of goods and services in a basket fixed for industrial workers.
DA Calculation Formula
[{12 महीने का CPI-IW औसत 261.42} / 261.42] × 100 The increase of July 2025 will be fixed through this formula.
DA relieving inflation
The role of DA is very important in the income of government jobs. It not only protects the salary from the effect of inflation, but also gives economic strength to the employees during festivals or special expenses. The payment of DA around the festive season works for financial relief for employees and pensioners. When the consumer spending increases, this amount plays an important role in meeting the needs of the family.
Everyone’s eyes on the 8th pay commission
The term of the 7th Pay Commission ends in December 2025. After this, the 8th Pay Commission is likely to be implemented, but the government has not yet announced its formation or names of members. According to experts, the new Pay Commission may come into force from January 2026, but it is possible to delay 1.5 to 2 years. In this situation, there is a possibility of arrears (outstanding salary) to employees for old times.