Cabinet approves three-percentage-point DA and DR increase for central staff and pensioners

The reported change

The Cabinet update dated 28 October 2026 announced a three-percentage-point increase in DA for eligible central government employees and DR for eligible pensioners. The reported rate moves from 60% to 63% of basic pay or basic pension, effective 1 July 2026.

The percentage applies to the relevant basic amount, not the full gross salary or the final bank credit. Deductions, tax, allowances and a person’s pay or pension record affect the result.

Why the effective date matters

An effective date of 1 July is different from the date the decision was announced. Arrears depend on the eligible period and the person’s applicable basic amount during that period.

The official order and the department’s implementation instructions are the controlling documents. A news headline does not replace a pay slip or pension statement.

What remains individual-specific

Two employees can receive different rupee increases even when the percentage change is identical because their basic pay differs. Pensioners’ calculations use the applicable basic pension.

Check the official Cabinet update and the implementing circular before estimating arrears. This report describes the announced rate, not a personal payroll determination.

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