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Tuesday, January 20, 2026

UP Government Announces 3% DA Hike as Diwali Bonus for Employees

Uttar Pradesh Announces 3% DA Hike as Diwali Gift for Employees

The Uttar Pradesh government has announced a significant Diwali bonus for state employees and pensioners with a 3% increase in Dearness Allowance (DA) and Dearness Relief (DR).

Key Details of UP DA Hike

  • DA increased from 55% to 58% for state government employees
  • Benefitting approximately 28 lakh employees and pensioners
  • Effective from July 1, 2025
  • Announced by Chief Minister Yogi Adityanath

The hike follows the central government’s recent approval of a similar 3% DA increase for central employees and pensioners.

Central Government DA Hike

The Union Cabinet chaired by Prime Minister Narendra Modi approved a 3% DA increase for central government employees and DR for pensioners, effective from July 1, 2025. This raises the rate from 55% to 58% of basic pay/pension.

The financial impact on the exchequer is estimated at Rs. 10,083.96 crore annually, benefiting approximately 49.19 lakh central government employees and 68.72 lakh pensioners.

This increase follows the accepted formula based on recommendations of the 7th Central Pay Commission to compensate against price rise.

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