DA Hike in July 2025: In January 2025, the government had increased the DA by only 2%, increasing it from 53% to 55%. Most of the central employees were disappointed with this decision of the government. However, this time a bigger increase in DA is expected.
7th Pay Commission: Central government employees and pensioners may get great news before Diwali. Dearness Allowance (DA) for July-December 2025 for central employees is going to be announced soon. According to the news published in Financial Express, this time DA may increase by 3 percent. At present DA is 55 percent. In such a situation, it can increase from 55 percent to 58 percent.
Let us tell you that dearness allowance is fixed twice every six months. Its calculation is decided on the basis of inflation rate of 12 months and a prescribed formula. According to the Labor Bureau, the All-India CPI-IW i.e. Industrial Workers Consumer Price Index (All-India CPI-IW) for June 2025 has increased by 1 point to 145. In fact, in January 2025, the government increased DA by only 2 percent, due to which it increased from 53 percent to 55 percent. At that time, disappointment was seen among the central employees.
DA may increase by 3%
The Labor Bureau has recently released the CPI-IW for June 2025 i.e. Consumer Price Index for Industrial Workers, which was 145. With this, the average index for 12 months from July 2024 to June 2025 has become 143.6. In such a situation, an increase of 3 percent in DA is being estimated this time. This increase will benefit more than one crore employees and pensioners of the country. This announcement is usually made around Diwali and this time too its official announcement is expected in October or November.
What will be the impact on employees and pensioners?
The increase in dearness allowance has a direct impact on the salary of central employees and the pension of pensioners. For example, if an employee’s basic salary is Rs 40,000 and DA increases from 55 per cent to 58 per cent, then their monthly DA amount will increase from Rs 22,000 to Rs 23,200.
That is, their salary will increase by Rs 1,200 every month. Apart from this, the increase in DA also increases other allowances like Travel Allowance (TA) and House Rent Allowance (HRA), which increases the total income of the employees a little more. This time the increase is also special because for January-June 2025, there was only a 2 percent increase in DA, which was the lowest in the last seven years.
