Good news for employees
As you know, just before the festivals, the Central Government has given a big gift to crores of employees and pensioners. In October 2025, the government has announced to increase the Dearness Allowance (DA) by 3%. Now the DA rate has increased from 55% to 58%. This increase has directly brought relief to more than 1 crore central employees and pensioners.
How much will be the benefit?
If the basic salary of an employee is ₹25,000, then
Earlier DA at (55%) = ₹13,750
Now DA at (58%) = ₹14,500
That is, an additional benefit of ₹750 per month.
This amount will fill the pockets of employees with happiness during the festive season. Along with this, Durga Puja and Diwali Bonus will also be announced
Why did DA increase?
- DA is revised every 6 months on the basis of inflation.
- This 3% increase for the period July to December 2025 has been decided on the basis of CPI-IW (Consumer Price Index – Industrial Workers) data.
- Its direct purpose is to reduce the impact of inflation and provide financial stability to the employees
Final hike under 7th Pay Commission
- According to experts, this could be the final DA hike under the 7th Pay Commission, as the 8th Pay Commission (8th CPC) is likely to be implemented from January 2026.
- Compared to the 6th Pay Commission, the final DA rates of the 7th pay Commission are significantly lower:
- DA at the end of 6th CPC (2015) – 119%
- DA at the end of 7th CPC (2025) – 58%
Impact on employees and pensioners
- Benefit to more than 1 crore employees and pensioners
- Pockets will be heavy during the festival season
- Pensioners will also get inflation relief at the same rate This increase will help in reducing financial pressure
FAQs
Q1. How much has DA increased in October 2025?
DA has increased by 3%.
Q2. What is the new DA rate?
The new DA rate has become 58%.
Q3. Who will get this benefit?
Both central government employees and pensioners.
Q4. Is this the last DA hike of the 7th Pay Commission?
Yes, it is likely to be the last, as the 8th Pay Commission will be implemented from January 2026.
Conclusion
This 3% DA hike in October 2025 has brought great relief to employees and pensioners. The increased income in their pockets before the festivals will definitely bring smiles on their faces and happiness in their homes.