7th Pay Commission: While central government employees are waiting for the formation of the Eighth Pay Commission, they are likely to get at least one more dearness allowance (DA) hike under the current Seventh Pay Commission.
7th Pay Commission: While central government employees are waiting for the formation of the Eighth Pay Commission, they are likely to get at least one more dearness allowance (DA) hike under the current Seventh Pay Commission. As per the latest inflation data, DA for central government employees is likely to increase by 4% in July 2025.
DA is increased twice a year
DA hike is announced twice a year in February-March and September-October, which comes into effect with retrospective effect from January and July respectively. This helps employees mitigate the impact of inflation. The current DA rate is 55% after a 2% hike in March this year. DA is given to government employees, while DR is given to pensioners.
How much will the salary increase?
With the increase of 3% dearness allowance, the salary of an entry-level central government employee with a basic salary of around Rs 18,000 per month will increase by about Rs 540 per month from July 1, 2025. If someone’s salary is Rs 30,000 per month and his basic salary is Rs 18,000, he will now get Rs 9,990 as dearness allowance, which is 53 percent of the basic salary. However, after the expected 3 percent hike, the employee will get Rs 10,440 per month, which is Rs 540 more.
When will the 8th pay be implemented
The central government on Monday (July 21) in response to a question in Parliament said that the chairman and members of the 8th Pay Commission will be appointed after the commission is formally notified by the government. Minister of State for Finance Pankaj Chaudhary said that suggestions have been sought from key stakeholders including the Ministry of Defense, Ministry of Home Affairs, Department of Personnel and Training and the states.