Six major Indian states have announced significant Dearness Allowance (DA) increases for government employees and pensioners, effective from January 1, 2026. According to reports from The Times of India, Bihar, Odisha, Tamil Nadu, and Uttarakhand have all revised their DA rates, with West Bengal expected to follow suit during its May 18 cabinet meeting. The latest developments are expected to benefit over 2.5 crore employees and retirees across these states, while more states may announce similar revisions in the coming weeks.
The Uttarakhand government has approved a 2 percentage point increase in Dearness Allowance for state government employees and pensioners, as confirmed by Chief Minister Pushkar Singh Dhami. The decision directly benefits more than 2 lakh government employees and around 1.5 lakh pensioners and family pensioners in Uttarakhand. The revised DA will be effective retrospectively from January 1, 2026, with employees and pensioners eligible for arrears from that date. The state government has clarified that the exact timeline and procedure for arrear payment will be finalized after the official government order is issued by the Finance Department. Employee unions and pensioner associations have welcomed the announcement, stating that the DA hike will help offset the impact of inflation and rising living costs.
The Bihar government has approved a Dearness Allowance and Dearness Relief hike for state government employees and pensioners, as reported by The Times of India. The decision was taken at a cabinet meeting chaired by Deputy Chief Minister Samrat Choudhary in Patna. 7th Pay Commission employees will see their DA increased from 58 per cent to 60 per cent, while 6th Pay Commission employees and pensioners will benefit from DA/DR rising from 257 per cent to 262 per cent. Additionally, 5th Pay Commission employees and pensioners will receive DA/DR increases from 474 per cent to 483 per cent. The revised rates will come into effect from January 1, 2026, marking one of the first major financial decisions by the new Bihar government after assuming office in April.
The Odisha government has announced a 2 percentage point increase in Dearness Allowance for state government employees and pensioners, according to The Times of India. Chief Minister Mohan Charan Majhi confirmed that the DA has been revised from 58 per cent to 60 per cent. The revised DA will be paid with the May salary, while pensioners will receive the increased temporary increase (TI) along with their May pension. The decision benefits approximately 8.5 lakh employees and pensioners across the state.
The Tamil Nadu government has increased Dearness Allowance for government employees and teachers by 2 percentage points, providing relief amid rising inflation, as reported by The Times of India. Chief Minister C. Joseph Vijay announced that the DA has been raised from 58 per cent to 60 per cent with effect from January 1, 2026. The DA revision will lead to an additional annual expenditure of ₹1,230 crore. The decision benefits approximately 16 lakh employees, teachers, pensioners and family pensioners across the state.
The West Bengal government is expected to discuss Dearness Allowance and implementation of the Seventh Pay Commission during a cabinet meeting scheduled for May 18, according to The Times of India. Chief Minister Suvendu Adhikari confirmed that several important issues related to employees and pensioners will be discussed during the meeting. Currently, West Bengal government employees receive 22 per cent DA after a recent 4 percentage point increase announced in the interim Budget earlier this year. However, employees continue to demand DA at par with central government staff, as West Bengal employees remain covered under the 6th Pay Commission structure while central government employees are under the 7th Pay Commission.
