Central government employees will experience a 2% increase in their dearness allowance, rising from 53% to 55%. The dearness allowance is included in the basic salary and DA Hike 2025 will raise your Salary & basic Pay by 2% taking total DA Rate to 55%. This updated rate will be effective retroactively from January 1, 2025. According to the decree of the Government Dearness Allowance Increase July 2025 will be disbursed in cash in July 2025 and will be included in the monthly pension/family pension starting from July 2025.”
DA Hike 2025
The Central Government is going to announce DA Hike 2025 in July 2025 which will benefit everyone including pensioners who are reemployed or receiving multiple pensions provided that they do not conflict with the terms of this new order. The updated DA will be incorporated into the normal monthly pension payments starting in July. This announcement is meant to keep the government’s approach to DA adjustments consistent with increases in inflation and the cost of living. The implementation of Government Order No. 29-F of 2025, issued on January 27, 2025, is underway.
Dearness Allowance Increase July 2025
About | DA Hike 2025 |
Country | India |
Year | 2025 |
Dearness Allowance Increase July 2025 | 55% |
Existing Rate of DA per month | 53% |
Category | News |
How does Dearness Allowance Get Calculated
- Government employees and pensioners receive a DA, or cost-of-living adjustment allowance, to mitigate the effects of inflation. As a percentage of base pay, it is updated regularly to account for changes in inflation as determined by the CPI.ย
- To prevent inflation from lowering the purchasing power of government workers and retirees, the government typically reviews and adjusts the DA twice a year.
DA Arrear Payment Rates 2025
Current Monthly DA Rate | As of the month | Monthly Revised DA Rate |
53% of Basic Pension/Basic family pension | 01.01.2025 | 55% of Basic Pension/Basic Family Pension |
Explanation of the current DA rules’ Applicability
- The J&K government’s June 4, 2025, decision restates that, provided they do not clash with the terms of this new order, all other requirements of the issuance of DA, such as rules for seniors who have been reemployed or who are receiving multiple pensions, will remain unaltered.
- This announcement aims to keep the J&K government’s strategy consistent when it comes to modifying DA to reflect increases in inflation and the cost of living. It is an extension of the January 27, 2025, publication of Government Order No. 29-F of 2025.ย
Calculations of Dearness Allowance Rates 2025
Month | CPI (IW) | DA% Monthly Increase |
Jan 2025 | 143.2 | 56.39 |
Feb 2025 | 142.8 | 56.72 |
Mar 2025 | 143.0 | 57.09 |
Apr 2025 | 143.5 | 57.47 |
May 2025 | – | – |
Jul 2025 | – | – |
FAQS On DA Hike 2025
It is anticipated that the DA raise would take effect on July 1, 2025, and the announcement will probably be made in October or November of that year.
The current DA percentage is 55% for central government employees and pensioners.
Based on the average CPI-IW index, the DA is expected to increase by 2-3%, potentially raising it to 57-58%.