For the months of November-December 2025, central government employees and pensioners received an added perk in their DA pays of a combined 3%. This jointly announced rise props up the sources of income at the festive/decelerating inflation.
Updates in the Recent DA Hike
In December 2025, the Union Cabinet substantiated a 3% DA rise that would enhance the DA rate from 55% to 58% of the basic salary. With effect from July 1, 2025, this increment aims to make up for the rising cost of living that is manifest from the increase in consumer price index.
Payment of Arrears
The release of arrears shall cover from July upward to either November (or more until the month of the announcement). For the most part, most of the beneficiaries have observed this increase in their DA pay for December 2025. All departments have so worked hard that within half a fortnight of having gotten the official orders, they have succeeded in crediting all the accounts of the government servants.
Impact on Salary and Pension
This hike also beefs up the monthly in-hand salary, along with other additional perks like HRA and TA. The pending sum helps in managing the year-end needs, and pensioners would get the same percentage of Dearness Relief yet again.
Impact on Salary and Pension
The 18-month-long delayed DA of the pandemic freeze (January 2020 to June 2021) remains untouched. Government references to the same in the Parliament have denied any immediate release due to fiscal considerations.
| Feature | Details |
|---|---|
| Latest DA Rate | 58% (from July 1, 2025) |
| Hike Percentage | 3% |
| Arrears Period | July to November 2025 |
| Payment Month | December 2025 |
| Previous DA Rate | 55% |
| Beneficiaries | Over 50 lakh employees, 65 lakh pensioners |
Looking Ahead to 2026
Following the completion of the subsequent revision of DA which was slated in March 2026 for January to June 2026, it is expected to be around 2-3% if carried out accordingly. Without prejudice, a re-merger could be one option once the DA reset there to “0” upon the implementation of the 8th Pay Commission.
Consult your salary-slips or bank-account statements personally for absolute arrears. Do look up 2025 DA Arrears Latest Update December on the department’s official Web page at the Ministry of Finance, Department of Expenditure.
Also read: Fitment Factor Hike 2026: Government Staff & Retirees Cheer Possible 20–40% Pay Rise