Government employees await July 2026 Dearness Allowance hike: Check DA and DR announcement dates for the last 5 years

Central government employees and pensioners are awaiting the announcement of the July 2026 Dearness Allowance (DA) and Dearness Relief (DR) hike. The Union Cabinet meeting held on 14 October 2026 did not bring an update on the revision, leaving employees waiting for clarity on the next instalment.

DA is a cost-of-living adjustment paid to central government employees to help offset the impact of inflation. Pensioners receive a corresponding benefit known as Dearness Relief (DR). Both are calculated as a percentage of basic pay or pension.

According to a Ministry of Finance release dated 18 April 2026, the Union Cabinet approved a 2% increase in DA and DR, effective from 1 January 2026. This took the rate from 58% to 60% of basic pay or pension. The increase was based on the accepted formula linked to the recommendations of the 7th Central Pay Commission.

The Centre generally revises DA and DR twice a year, with effect from 1 January and 1 July. However, the announcement dates can vary, and the July instalment is often announced several months after its effective date.