July DA hike for central staff likely before Dussehra

Central government employees are likely to get their July 2026 dearness allowance (DA) hike announced before Dussehra, which falls on October 20.
Employee federations expect the announcement to come in October, with the hike possibly paid in October salaries along with arrears. The current DA rate stands at 60 per cent of basic pay.
Reports suggest the hike could be 3 to 4 per cent, taking DA to 63 or 64 per cent. The increase would benefit nearly 50 lakh serving employees and about 68 lakh pensioners.
The DA hike is linked to the 12-month average of the All-India Consumer Price Index for Industrial Workers. The last instalment, effective January 2026, was a 2 per cent rise to 60 per cent.
Employee associations have urged the finance ministry to speed up the process. The 8th Pay Commission is also in the works, though its recommendations are not yet final.
No official announcement has been made so far. The figures remain projections based on inflation data and federation estimates.
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