Signs of significant movement regarding the salary increase for central employees have begun to appear. Millions of employees and pensioners in the country are currently looking forward to the 8th Pay Commission with hope. This is because the 7th Pay Commission will end in December 2025, and it is expected that new recommendations will be implemented in March-April 2026.
As inflation rises, the expectation for a salary increase has intensified. Central employees have high hopes, especially regarding the increase in Dearness Allowance (DA). Currently, they receive 58 percent DA, and for the period of January-June 2026, it is likely to increase by 2 percent, reaching up to 60 percent. If this increase is announced, there will be a direct increase in employees' salaries based on their basic pay.
Kerala's decision in discussion
Meanwhile, the Kerala government has given a big gift to its state government employees before Holi. The dearness allowance in the state has been increased directly from 25 percent to 35 percent. This increase will be applicable in the salary of March 2026, and the arrears for January and February months will also be deposited in the employees' accounts. Pensioners will also directly benefit from this. Due to Kerala's decision, the expectations of central employees across the country have increased further. Now everyone's attention is on the Government of India.
Good news before Holi?
Looking at the trend of the past few years, the announcement of the dearness allowance has usually been made in the month of March. Therefore, the possibility of announcing an increase in DA/DR before Holi this year cannot be ruled out. If the government approves a 2 percent increase, it will provide significant relief to the household economy of millions of employees. If the 8th Pay Commission is implemented, major changes in the basic salary are also expected. Therefore, the year 2026 could prove to be economically significant for central employees. Now, the anticipation is only for an official announcement. If the joyous news comes during the Holi festival, it will be a splash of economic colors for millions of families!