A big news has come out for central government employees and pensioners. It is being claimed that DA (Dearness Allowance) arrears will be paid from 1 March 2025 to 18 months and this will increase the salary of employees. Also, it is being said that DA will be zero. In this article, we will understand the truth of this news and its effects in detail.
What is DA (Dearness Allowance)?
DA means dearness allowance, is an allowance given to government employees and pensioners, which aims to balance the impact of inflation. This allowance is revised every six months and is determined on the basis of All India Consumer Price Index (AICPI).
Importance of daa
- Protection of inflation: DA helps to maintain the purchasing power of employees.
- Relief for pensioners: Pensioners get DA as Dearness Relief – Dr.
- Economic Development: DA growth increases consumer spending, which strengthens the economy.
DA arrears from 1 March 2025: What is being claimed?
It is being said in the reports that the central government will pay an 18-month DA arrear, which was stopped during the Kovid-19 epidemic. In addition, it has also been claimed that the salary of the employees will increase by ₹ 16,164.
Claimed changes
point | Description |
Da arrear duration | January 2020 to June 2021 |
Increase in salary | By ₹ 16,164 |
Applied date | 1 March 2025 |
DA rate | Possibility of zero (zero) |
Increase in salary: How will the effect be?
If DA arrears are paid, it will have a positive impact on the total income of the employees. Understand this through an example below:
Basic Salary (₹) | Current DA (53%) | New DA (56%) | Monthly growth (₹) | 18 months arrear (₹) |
₹ 18,000 | ₹ 9,540 | ₹ 10,080 | ₹ 540 | ₹ 9,720 |
₹ 31,550 | ₹ 16,721.50 | ₹ 17,668 | ₹ 946.50 | ₹ 17,037 |
₹ 44,900 | ₹ 23,797 | ₹ 25,144 | ₹ 1,347 | ₹ 24,246 |
Will Da become zero?
Recently, it is also being discussed that the government can make the DA zero. This would mean that the DA will be merged into the basic salary and its calculation will begin at the new rate.
DA possible causes of zero
- The possibility of implementation of recommendations of 8th Pay Commission.
- The salary structure will be more transparent by adding the DA to the basic pay.
- This will ease the government in financial management.
Government status on DA arrear payment
Although this news has increased enthusiasm among employees and pensioners, the government had already made it clear that issuing 18 months DA arrears is not financially possible.
Government’s arguments
- Economic crisis during Kovid-19 epidemic.
- Pressure on government financial resources.
- Budget requirement for other welfare schemes.
Important Points: DA Grow and Arrear
- The DA rate has increased to 56% since January 2025.
- Its benefit will be available to about 47.58 lakh government employees and 69.76 lakh pensioners.
- Arrears of January and February 2025 will also be released by March 2025.
DA enlargement: How to calculate employees?
Step-by-step process
- Learn your basic salary.
- Apply new DA rate (56%):
- Da = ×
- Da = ×
- Add monthly growth:
- Example: If basic pay is ₹ 25,000: Old DA (53%): ₹ 13,250
- Add other allowances such as HRA and Transport Allowance.
Is this claim true or rumor?
The government had already made it clear that it is not possible to release DA/DR arrears of three installments stopped during the Kovid-19 epidemic. Therefore, the claim that arrears will be paid from March 2025 to 18 months –Perfectly wrong It seems.
Disclaimer:
This article is written only for the purpose of providing information. There has been no official announcement by the government that an 18 -month DA arrear will be released. Please wait for official announcements before taking any decision.