8th Pay Commission BIG update: Good news for Central government employees, DA likely to touch 60 percent, Modi government plans to…

During the 6th Pay Commission (2006–2016), the Dearness Allowance (DA) rose to as high as 125 percent of the basic salary.

8th Pay Commission: The Modi government has reportedly started the process for implementing the 8th Pay Commission, a step likely to impact lakhs of central government employees and pensioners. While the government has started the process, the delay in implementation has made many people wonder how much arrears they may receive once the new pay rules finally come into force. According to the reports, the Dearness Allowance (DA) has recorded its slowest growth so far during the tenure of the 7th Pay Commission.

It is important to note that this situation is different compared to the 5th and 6th Pay Commissions. Experts believe that this slow pace of DA increase could make the salary hike under the 8th Pay Commission more impactful in the future. Notably, once a new Pay Commission is implemented, the DA and the Dearness Relief (DR) given to pensioners are reset to zero (0 percent).

Here are some of the details:

• During the 6th Pay Commission (2006–2016), the Dearness Allowance (DA) rose to as high as 125 percent of the basic salary.
• During the 5th Pay Commission (1996–2006), DA increased to around 74 percent.
• DA under the 7th Pay Commission currently stands at 58 percent, and after the next revision due in March, it is expected to reach close to 60 percent.
• DA is revised twice every year (in March and October) and is considered effective from January and July, respectively.
• The government constituted the 8th Pay Commission in November 2025
• The Modi government has given it 18 months to submit its report.

It is believed that the report will not be presented before mid-2027. By then, DA is expected to be increased at least three more times—once each in March and October 2026, and again in March 2027. Assuming an average hike of 2–4 percent each time, DA could be around 70% before the implementation of the 8th Pay Commission.