DA Hike Announcement Update: AICPI data from January to April shows that there may be an increase of up to 3% in Dearness Allowance (DA) in July 2025. This can take DA beyond 58%. The data of the coming months will further strengthen this estimate. Also, with the implementation of the 8th Pay Commission, the benefit of DA will increase even more, which can reach 61% by January 2026.
7th CPC DA Hike: Good news has come regarding dearness allowance for central employees and pensioners. July 2025 can bring a big relief. According to AICPI (All India Consumer Price Index) data from January to April 2025, Dearness Allowance has reached 57.47%. In such a situation, once again a big jump can be seen in the dearness allowance of the employees in the coming days. According to the current trends, there can be a jump of up to 3 percent in dearness allowance. The data for two months is yet to come, after which the actual number will be known. Under the 7th Pay Commission, the employees will get a direct increase of 3% in DA, which will take it to 58%.
AICPI index rises
The numbers from the AICPI index decide how much the dearness allowance can increase. Based on the numbers between January and June 2025, it will be decided how much dearness allowance the employees will get from July 2025. So far, the numbers for January, February, March, April have come. The number for May will be released at the end of June. Let us tell you, till now the central employees coming under the 7th Pay Commission are getting 55 percent dearness allowance. Now this dearness allowance will increase in July. In January, the index number was at 143.2 points, due to which the dearness allowance increased to 56.39 percent. After this, the index stood at 142.8 points in February, 143 points in March and 143.5 points in April. On this pattern, dearness allowance has reached 56.72 percent, 57.09 percent and 57.47 percent till April.
Trend of AICPI and DA calculation
The AICPI index and DA score from January 2025 to April 2025 has been something like this.
| month | AICPI Index | Estimated DA (%) |
|---|---|---|
| January | 143.2 | 56.39% |
| February | 142.8 | 56.72% |
| march | 143.0 | 57.09% |
| april | 143.5 | 57.47% |
Conclusion: By April, DA has crossed 57%. If this trend continues in May-June, then DA can be considered to be 58% in July.
AICPI data from January to April shows that there may be an increase of up to 3% in Dearness Allowance (DA) in July 2025. This can take DA beyond 58%. The data of the coming months will further strengthen this estimate. Also, with the implementation of the 8th Pay Commission, the benefit of DA will increase even more, which can reach 61% by January 2026.
7th CPC DA Hike: Good news has come regarding dearness allowance for central employees and pensioners. July 2025 can bring a big relief. According to AICPI (All India Consumer Price Index) data from January to April 2025, Dearness Allowance has reached 57.47%. In such a situation, once again a big jump can be seen in the dearness allowance of the employees in the coming days. According to the current trends, there can be a jump of up to 3 percent in dearness allowance. The data for two months is yet to come, after which the actual number will be known. Under the 7th Pay Commission, the employees will get a direct increase of 3% in DA, which will take it to 58%.
AICPI index rises
The numbers from the AICPI index decide how much the dearness allowance can increase. Based on the numbers between January and June 2025, it will be decided how much dearness allowance the employees will get from July 2025. So far, the numbers for January, February, March, April have come. The number for May will be released at the end of June. Let us tell you, till now the central employees coming under the 7th Pay Commission are getting 55 percent dearness allowance. Now this dearness allowance will increase in July. In January, the index number was at 143.2 points, due to which the dearness allowance increased to 56.39 percent. After this, the index stood at 142.8 points in February, 143 points in March and 143.5 points in April. On this pattern, dearness allowance has reached 56.72 percent, 57.09 percent and 57.47 percent till April.
Trend of AICPI and DA calculation
The AICPI index and DA score from January 2025 to April 2025 has been something like this.
When will the next revision happen in dearness allowance?
The next revision in dearness allowance (DA Hike) for employees is to be implemented from July 2025. But, it is announced by September or October. Actually, the June figure will come by the end of July. After this, it will be decided on this basis how much the increase is to be. After this, the file will reach the Finance Ministry from the Labor Bureau and then the Cabinet will approve it. After this, the increased DA will also be paid from the salary of the month in which the approval is received. The payment for the intervening months is made through arrears.
What will be the effect of a 3% increase in DA?
Suppose the basic salary of an employee is ₹ 30,000.
| dearness allowance | Percentage | DA amount |
|---|---|---|
| Existing DA | 55% | ₹16,500 |
| New DA | 58% | ₹17,400 |
| Difference (Increase) | ₹900 |
That means the salary will increase by ₹900 every month. The annual increase will be around ₹10,800.
Impact of 8th Pay Commission on DA
The 8th Pay Commission is yet to be constituted. After this, the salary of the employees will be revised as per the recommendations. But, the role of dearness allowance will remain in the new pay commission as well. The government has clarified that the new pay commission will be implemented from January 1, 2026. In such a situation, it is believed that the dearness allowance will reach 61%. The calculation of allowances like DA and HRA on the new basic will be different, due to which a big jump in the net salary is possible.
What does the rule say?
The government revises DA every 6 months – once in January and then in July. DA is determined on the basis of the average of the AICPI (IW) index. After every increase reaches 50%, the new basic salary is decided by merging the dearness allowance. But, it was not merged when it reached 50 percent. But, when the new pay commission comes, it will be zeroed and merged.
Conclusion: Dearness allowance can reach 58 percent
The AICPI data available so far shows that the jackpot of DA for central employees is certain in July 2025. An increase of 3% is almost certain. The current data of AICPI clearly shows that the DA of central employees can go up to 58% in July 2025. This will lead to a good increase in salary and its calculation will prove to be even more beneficial when the next pay commission comes.
FAQs
Q1. How much DA are central employees getting right now?
55% DA is being received from January 2025.
Q2. What can be the DA in July 2025?
According to AICPI data, it may increase up to 58%.
Q3. What is the AICPI index and how does it affect DA?
This is a consumer price index which is prepared on the basis of inflation. Through this the government decides DA.
Q4. How much will the 3% increase in DA affect the salary?
If the basic salary is ₹30,000 then there will be an increase of ₹900 per month.
Q5. What will be the impact of 8th Pay Commission on DA?
DA rates will be applicable on the new basic salary, which may lead to a big increase in the total salary of the employees.
