Central government employees are likely to receive a salary increase in April 2026, as the dearness allowance increase for January 2026 is expected to be announced next month. If that happens, both employees and retirees would see their payments increase for April 2026.
According to a report by Live Hindustan, the DA hike is reviewed twice a year. The first review usually takes place in March, around Holi, and is effective from 1 January. The second review occurs in October/November and is effective from 1 July. However, this year, no announcement has been made regarding lifting of DA during Holi. It is therefore very likely that the increase will be announced in April, the report said.
How high will it be?
Currently, the percentage of the account allocated to central government employees is 58%. According to the above report, there could be a 2-3% increase, which will take the DA to 60% or 61%. This increase will be effective from January 2026.
Will government employees get arrears?
If the designated account is revised in April, the excess amount will be reflected in the April salary. Employees will also receive arrears for the previous three months – January, February and March. These pending payments are expected to be paid as a lump sum with your April salary.
About 50,000 central government employees and 65,000 retirees are expected to benefit from this amendment.
The term of the Seventh Payment Commission ended on December 31, 2025, while the Eighth Payment Commission entered into force on January 1, 2026.
Read also: Eighth: Salaries Committee: How much will the salaries of central government employees increase?
The new committee has not yet made its recommendations, and has been given 18 months in November 2025 to do so. Even then, reviewing salaries and pensions under the new framework may take some time.
Experts believe that once the Eighth Pay Commission is implemented, the current dearness allowance (DA) will be merged with the new basic pay. Until then, this increase in the designated account will provide some relief to government employees.
