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LatestIncome Tax 29 October 2026

Government Announces 3% DA Increase for Central Employees

The Union Cabinet approved a 3% rise in dearness allowance for all central government staff to help offset inflation and improve real wages. The increase takes effect immediately and forms part of broader pay adjustments in the public sector.

The [Union Cabinet](https://www.google.com/url?rct=j&sa=t&url=https://m.economictimes.com/wealth/save/da-hike-news-h-the-government-announce-3-da-hike-for-central-government-employees-todayas/has-the-government-announced-a-3-da-hike-today/slideshow/135253676.cms&ct=ga&cd=CAIyHDNlNzk4NzU3OWI0NjNkNzA6Y29tOmVuOklOOlI&usg=AOvVaw3VQas24J6G_BdpW9QiiUEF) approved a 3% increase in dearness allowance (DA) for all central government employees, effective immediately.

  • 3% raise applied to salary calculations
  • Intended to offset rising cost of living
  • Complements a ₹10,000 crore Container Manufacturing Scheme aimed at boosting domestic production

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