Today Cabinet Approved 2% DA Hike from January 2025 – PIB Press Release

The Union cabinet Chaired by Prime Minister has approved 2% DA Hike from January 2025. PIB has issued press release today.

As a result, 48.66 lakh Central Government employees will receive a 55% Dearness Allowance, and 66.55 lakh pensioners will receive a 55% Dearness Relief starting from January 1, 2025

PIB Press Release on DA Hike from January 2025

Cabinet approves release of an additional instalment of Dearness Allowance to Central Government employees and Dearness Relief to Pensioners w.e.f. 01.01.2025

48.66 lakh Central Government employees and 66.55 lakhs pensioners to benefit

2% benefit to cost Rs. 6614.04 crore per annum to exchequer

The Union Cabinet chaired by Prime Minister Narendra Modi approved to release of an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.01.2025 representing an increase of 2% over the existing rate of 53% of the Basic Pay/Pension, to compensate against price rise.

The combined impact on the exchequer on account of increase in both Dearness Allowance and Dearness Relief would be Rs. 6614.04 crore per annum. This will benefit about 48.66 lakh Central Government employees and 66.55 lakhs pensioners.

This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.

View the Press release