
Analiza Pathak
Born in Guwahati, raised in Mussoorie and Delhi, She grew up reading magazines more than textbooks. She is an experienced writer/editor and has shifted focus to various aspects of communication. Her a ... Read More
On October 1, the central government announced a festive gift for its employees and pensioners by increasing the Dearness Allowance (DA) and Dearness Relief (DR) by 3 per cent for the period from July to December 2025. With this hike, the DA rate has gone up from 55 per cent to 58 per cent. This decision has brought happiness to more than 1.2 crore employees and pensioners ahead of the Diwali season.
For central government employees at Level-1, the minimum basic salary is Rs. 18,000. With the 3 per cent increase, they will get an additional Rs. 540 per month. So, the total DA will now be Rs. 10,440 per month (which is 58 per cent of Rs. 18,000).
Pensioners who receive a minimum basic pension of Rs. 9,000 will also benefit. Their pension will increase by Rs. 270 per month, taking their total DR amount to Rs. 5,220.
The DA hike takes effect from July 1, 2025. This means employees and pensioners will also receive arrears for July, August, and September in their October payment. For Level-1 employees, the three-month arrears will amount to Rs. 1,620 (Rs. 540 x 3).
This DA hike brings much-awaited relief and festive cheer to central government staff and pensioners across the country.
The central government has also announced a bonus for its employees. According to an order issued by the Finance Ministry, all Group C and non-gazetted Group B central government employees will receive an “ad-hoc bonus” equal to 30 days’ salary for the financial year 2024–25. The amount of this bonus has been fixed at Rs. 6,908.
However, not everyone will be eligible for the payment. Only those employees who are in service as of March 31, 2025, and have worked continuously for at least six months during the year will qualify for the bonus. Those who have worked for less than a year will receive the bonus on a pro-rata basis, depending on how long they have served.
For Level-1 employees, October will bring extra festive relief. They will receive a total additional benefit of Rs. 8,528, which includes:
On top of that, their monthly salary will also permanently increase by Rs. 540 following the 3 per cent DA hike.
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