DA hike after Dussehra: Will central government employees get good news in October? - What we know so far

Central government employees and pensioners are awaiting the announcement of the dearness allowance (DA) hike for July 2026. The central government did not announce the increase in its cabinet meeting on 14 October.

Though the cabinet announced a performance-linked bonus (PLB), or annual bonus, for all Railway employees, it did not announce any decision on the much-awaited DA hike.

This has left employees hoping for a decision on the dearness allowance at the next cabinet meeting, which is likely scheduled for 21 October, a day after Dussehra. Still, it is important to note that the government has not officially confirmed the announcement date.

For example, the last DA hike was announced on a Saturday (18 April). Before that, it was announced on Wednesday (1 October 2025) after a cabinet meeting. Prior to that, on a Saturday (28 March 2025), the government announced the January 2025 DA hike.

That is why the upcoming 21 October meeting is a possible opportunity, but the central government employees should not treat it as a confirmed announcement date or deadline.

Current DA rate and expected increase

The current DA rate for serving central government employees is 60% of basic pay. This allowance is revised twice a year. Generally, it is done with effect from January and July to help employees manage inflation, boost their purchasing power and meaningfully improve their livelihoods.