The central government has recently approved a 2 percent increase in dearness allowance of central employees, which has increased from 53% to 55% from 53%. However, this growth is considered to be the lowest compared to the last seven years. This increase is considered special in the backdrop of the upcoming 8th Pay Commission, whose recommendations will be effective from 1 January 2026.
How much relief will be available from increase in DA?
The government amends DA every six months, which also increases the HRRA and travel allowances of the employees.
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For example, whose basic salary is ₹ 18,000, they will have an additional income of ₹ 360 every month and ₹ 4,320 annually.
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At the same time, a pensioner whose basic pension is ₹ 9,000 will get a profit of ₹ 180 months and ₹ 2,160 annually.
Will DA be merged into salary?
During the previous pay commissions, DA was merged into the basic salary when it exceeded 50%.
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It was considered by the 5th, 6th and 7th Pay Commissions.
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However, no official announcement has been made about the 8th Pay Commission yet whether DA will be added to Basic again.
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Minister of State for Finance Pankaj Chaudhary made it clear in the Rajya Sabha that there is no such plan of the government at present.
How much will salary increase with 8th Pay Commission and Fitment Factor?
There will be a special focus on the fitment factor in the 8th Pay Commission.
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This factor increases the salary in proportion to the existing basic.
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According to media reports, the new fitment factor can be between 2.28 and 2.86.
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For example, if the basic salary of an employee is ₹ 50,000 and the fitment factor 2.86 is imposed, the new salary can go up to ₹ 1,43,000.
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The post 8th Pay Commission Update: A slight increase in dearness allowance, 2026 will be implemented new salary structure first appeared on News India Live | Breaking India News, The Indian Headline, India Express News, Fast India News.
