DA Hike update: Central government employees may see another increase in March?

Good news for central government employees. They've already received great news at the start of this year. The government has agreed to form the Eighth Pay Commission, a long-standing demand of the employees.

In addition, there are now reports that the government may soon announce a Dearness Allowance (DA) hike for these employees. Typically, the DA is increased twice a year for central government employees - once at the beginning of the year and again at the end.

The first DA hike is usually announced before Holi, which falls in March. Now, sources say that after the DA hike in March, government employees may receive even better news.

The Centre says that the Eighth Pay Commission is expected to be formed in April 2026. Preparations for this may begin soon. If this happens, the government may announce a DA hike in March and the formation of a new pay commission the following month.

The government has already sought opinions from several departments, including the Ministry of Defence, Ministry of Home Affairs, and the Department of Personnel and Training (DoPT).

After receiving these opinions, the draft terms of reference for the Eighth Pay Commission will be prepared. The Cabinet will then approve the final plan. Central government employees have long been demanding the formation of the Eighth Pay Commission. Recently, a meeting was held on February 10 to discuss the new pay commission.

This meeting focused on determining how the salaries, pensions, and other benefits of government employees will be calculated under the new pay structure.