DA Hike News: The beginning of October has brought great joy for lakhs of government employees. The government has announced an increase in the Dearness Allowance (DA) for employees working in Public Sector Undertakings (PSUs). This hike will directly benefit employees as their salaries will now increase significantly.
According to the order issued by the Ministry of Finance, the new Industrial Dearness Allowance (IDA) will come into effect from December 1, 2025. This change will apply to all PSU employees, including board-level executives and supervisors. The Department of Public Enterprises has stated that the new rates will be effective for employees working under the 1987, 1992, 1997, 2007, and 2017 pay scales.
Employees under older pay scales to benefit the most
The government has informed that the average All India Consumer Price Index for this quarter stood at 9611 points. For employees under the 1987 pay scale, there has been an increase of 178 points, meaning their IDA will now reach ₹17,812. This increment will make a noticeable difference in their monthly salaries compared to before.
Changes in 1992, 1997, and 2017 pay scales
For employees under the 1992 pay scale, DA rates have been set according to their basic pay:
- For those earning up to ₹3500, DA will be 774.50%.
- For ₹3500 to ₹6500, DA will be 580.90%.
- For ₹6500 to ₹9500, DA will be 464.70%.
- For those earning above ₹9500, DA will be 387.20%.
In addition, for the 1997 pay scale, DA is set at 462.70%; for 2007, it is 233.20%; and for the 2017 pay scale, it is 51.80%.
Instructions issued to ministries
All ministries and departments have been instructed to inform their respective public sector undertakings about this decision so that employees can receive payments as per the revised DA from October 1. This order has been issued with the approval of the Secretary, Department of Public Enterprises.
Smiles return to employees’ faces
Employees had been waiting for a DA hike for quite some time. With rising inflation, they were expecting some relief in their salaries. Now, with this decision, employees are visibly happy. Many have expressed their gratitude to the government on social media, saying that this hike will help ease their monthly budget burdens.