AND Hike In Arunachal Pradesh: Dearness Allowance by Central Government (ANDDays after announcing the hike in ), the Arunachal Pradesh government has also approved a 3 per cent increase in DA and dearness relief (DR) for its state employees and pensioners, respectively. With this revision, the DA of Arunachal Pradesh state employees has increased from 55 per cent to 58 per cent, effective from July 1, 2025.
In a post on social media, Chief Minister Pema Khandu said the hike in DA/DR will benefit state government employees, pensioners and AIS officers serving in the state.
According to the Economic Times report, governments increase DA to help their employees cope with rising living costs and inflation. The revised allowances in Arunachal Pradesh will benefit both serving government employees and retired employees, ensuring their incomes keep pace with inflation.
The DA/DR hike in Arunachal Pradesh will benefit thousands of state government employees, pensioners, and AIS officers serving in the state. The Arunachal Pradesh government will pay the arrears from July to September 2025 in cash, and the revised DA/DR will be included in the October pay and pension.
The central government also increased DA/DR
Prime Minister Narendra Modi’s Union Cabinet also announced a 3% increase in DA/DR for central government employees and pensioners. This increase will be effective from July 1, 2025. Following this announcement, the DA for central government employees has increased from 55% to 58% of their basic pay.
To keep salaries and pensions in line with inflation, the central government increases DA/DR twice a year. This DA increase takes effect on January 1st and July 1st of the respective year. Central government employees will now receive updated DA arrears for July, August, September, and October following this 3% DA increase.
Earlier in March, the government had raised the DA from 53% to 55%. Since the Seventh Pay Commission’s term ends on December 31, 2025, there will be no increase in DA.
How is DA calculated?
The DA is calculated using the Consumer Price Index for Industrial Workers (CPI-IW), which is released monthly by the Labor Bureau of the Ministry of Labor. Every month, the bureau shares these index values, which track the relative changes in retail prices of a specific, fixed category of goods and services consumed by industrial workers over a specific period.