NEW DELHI, OCTOBER 28: The Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday approved a 3 per cent increase in Dearness Allowance (DA) for central government employees and Dearness Relief (DR) for pensioners, providing financial relief to more than 1.17 crore beneficiaries across the country.
Information and Broadcasting Minister Ashwini Vaishnaw announced the decision following the Cabinet meeting, stating that the increase had been approved ahead of Diwali.
According to the announcement, the revised rates of Dearness Allowance and Dearness Relief will come into effect retrospectively from July 1, 2026.
The decision is expected to benefit approximately 48.54 lakh central government employees and 68.71 lakh pensioners, taking the total number of beneficiaries to around 1.17 crore.
Dearness Allowance is provided to serving central government employees to help offset the impact of inflation on their salaries, while Dearness Relief is extended to pensioners to provide similar support against rising living costs.
The latest revision is aimed at providing additional financial assistance to employees and pensioners amid changing economic conditions. Since the revised rates are effective from July 1, eligible beneficiaries will receive the applicable increase for the period covered by the revised allowance.
The Cabinet’s decision comes ahead of the festive season, bringing additional financial support to lakhs of government employees and retired personnel across the country.
