Cabinet Approves 2% DA/DR Hike for Government Employees

Cabinet approves 2% Dearness Allowance hike for central government employees and pensioners, effective January 1, 2026.
Increase raises DA/DR rate from 58% to 60% of Basic Pay/Pension to compensate for price rise.
Measure will cost exchequer ₹6,791.24 crore annually, benefiting 50.46 lakh employees and 68.27 lakh pensioners.
Increase is based on accepted formula from recommendations of the 7th Central Pay Commission.