DA Hike 2025: It is expected that around Holi, the dearness allowance and relief of central employees and pensioners may increase by 3 to 4 percent again, after which DA will increase from 53% to 56% or 57%. This increase will be done under the 7th Pay Commission.
7th Pay Commission DA Hike 2025: There is good news for central employees and pensioners. After the 8th Pay Commission, now the employees and pensioners are waiting for another gift. This wait is for dearness allowance, because from January 2025, the rates of dearness allowance and dearness relief are to be revised once again.
Actually, the rates of dearness allowance and dearness relief of central employees and pensioners are revised twice every year by the central government, which depends on the half-yearly data of the All India Consumer Price Index. This increase is done every year from January/July, which is announced around February, March and September, October. Last year, DA was increased by 7 percent in 2024 (4% in January, 3% in July).
Dearness allowance to be increased again from January 2025
- Currently, central employees and pensioners are getting the benefit of 53 percent dearness allowance and dearness relief from July 2024 and now new rates are to be released from January 2025, which will depend on the half-yearly data of the AICPI index.
- According to the data from July to November 2024, the AICPI index score has reached 144.5 and DA score 55.05%, although the December figures are yet to come.
- It is expected that around Holi, dearness allowance and relief may increase again by 3 to 4 percent, after which DA will increase from 53% to 56%. This increase will be done under the 7th Pay Commission. This will benefit 48 lakh central employees and 69 lakh pensioners.
Know how much salary and pension will increase on DA Hike?
- DA and DR increase is calculated based on the percentage increase in the 12-month average of the All India Consumer Price Index (CPI-IW) for industrial workers. The government usually revises these allowances on January 1 and July 1 every year.
- For central government employees, DA is calculated like this- DA% = [(Average of AICPI (Base Year 2001 = 100) for the last 12 months – 115.76)/115.76] x 100
- For public sector employees, DA is calculated like this- DA% = [(Average of AICPI (Base Year 2001 = 100) for the last 3 months – 126.33)/126.33] x 100
- For example, employees whose minimum salary is Rs 18,000 will get an increase of Rs 540 on a 3% DA hike and those earning a maximum salary of Rs 2,50,000 will get an increase of Rs 7,500. Pensioners will also benefit from this, whose pension can increase by Rs 270 to Rs 3,750.
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