Uttar Pradesh govt hikes DA for state employees by 2%; 16 lakh personnel to benefit

The Uttar Pradesh government on Wednesday announced a 2% hike in Dearness Allowance (DA) for state employees, raising it from 53% to 55% of the basic pay with effect from January 1, 2025.

Chief Minister Yogi Adityanath took to social media platform X to make the announcement, and said, “Protecting the interests of state employees is our top priority.”

“Today it has been decided by the Uttar Pradesh Government to increase the Dearness Allowance being given to the State employees at the rate of 53% to 55% from 01.01.2025. Around 16 lakh employees will benefit from this decision,” he posted in Hindi. “Hearty congratulations to all of you!” he added.

The move follows a similar step by the Union Cabinet, which last week approved a 2% hike in DA for central government employees and Dearness Relief (DR) for pensioners. The increase, effective from January 1, 2025, takes the DA/DR to 55% of the basic pay.

The revision in DA and DR for central government employees and pensioners will benefit 48.66 lakh employees and 66.55 lakh pensioners. The combined financial impact on the central exchequer is estimated at ₹6,614.04 crore annually, according to an official statement.

The DA/DR hikes are calculated based on the 12-month average of the All India Consumer Price Index for Industrial Workers (AICPI-IW), as released by the Labour Bureau.

The hike comes ahead of the formal constitution of the 8th Pay Commission for revising the salaries and pensions of central government employees.