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COVID-19 Arrears: DA, DR & 8th Pay Commission Update

Economy
By ThePip Desk•
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A group of Indian government employees, some in traditional attire, examining papers spread across a cluttered office table.

Government employees review documents regarding arrears.

Key Highlights

Central Govt employees await COVID-19 DA/DR arrears. Finance Ministry yet to release payments. 2% DA/DR increase set for Jan 1, 2026. Read more.

Central government employees and pensioners are still awaiting the Dearness Allowance (DA) and Dearness Relief (DR) arrears that accumulated during the COVID-19 pandemic period.

In 2020, the Finance Ministry confirmed that these payments could not be released, despite ongoing demands from employee groups.

Adding to the financial landscape, a recent decision has been made regarding DA and DR. An increase of 2% in both DA and DR has been approved, set to take effect on January 1, 2026.