DA hike 2026: No festive relief yet for 1.2 crore employees and pensioners. When will Centre announce the 3% increase?

Central government employees and pensioners face a longer wait for the July 2026 DA hike. The expected 3% increase could raise DA to 63%, boosting salaries and pensions. Here's what the delay means for monthly payments and arrears.

Central government employees and pensioners will have to wait longer for the much-anticipated dearness allowance (DA) and dearness relief (DR) hike, with the Centre yet to announce the revision due from 1 July 2026.

The delay has prolonged uncertainty for nearly 1.2 crore employees and pensioners who were expecting a festive-season increase in their salaries and pensions. The anticipated 3-percentage-point hike could raise DA and DR from the existing 60% to 63%, although the government has not confirmed the revised rate.

The announcement was widely expected around Dussehra, with hopes of a decision on 21 October. However, no official announcement has been made, leaving employees awaiting clarity on when the increase will be approved and paid.

Why is the DA hike announcement taking longer?

The Centre generally revises DA and DR twice a year, with the changes taking effect from 1 January and 1 July. However, the announcement and payment of revised allowances can happen several months after these effective dates.

The last revision was approved by the Union Cabinet on 18 April 2026, when DA and DR were increased by two percentage points, from 58% to 60%, with effect from 1 January 2026.