The Arunachal Pradesh government has approved a 3 per cent hike in dearness allowance (DA) for state government employees and dearness relief (DR) for pensioners and family pensioners, bringing welcome news for tens of thousands of households across the state.
The decision follows the Centre’s lead. The Union Cabinet approved a 3 per cent DA and DR hike for central government employees and pensioners ahead of Diwali, raising the rate from 60 per cent to 63 per cent of basic pay and pension with effect from July 1, 2026. That central revision benefits more than 1.17 crore employees and pensioners at an estimated annual cost of around Rs 10,016 crore to the exchequer.
State matches the central revision
Arunachal Pradesh has matched central DA revisions in the past. An earlier revision this year raised DA and DR by 2 per cent, from 58 per cent to 60 per cent, with effect from January 1, 2026. That round covered 69,248 regular employees and 40,477 pensioners, with an estimated annual financial implication of Rs 100.54 crore. With the state rate standing at 60 per cent after that revision, the latest 3 per cent increase takes it to 63 per cent, matching the central rate.
Dearness allowance is a cost-of-living adjustment designed to offset inflation, calculated on the basis of the Consumer Price Index for Industrial Workers. It is revised periodically, and state governments typically follow the Centre’s decisions so that their employees do not fall behind their central counterparts.
What it means for employees
For serving employees, the hike raises the DA component of monthly pay, while pensioners see a corresponding rise in dearness relief on their pensions. As with the central revision, arrears for the months since the effective date are expected to be paid along with revised salaries and pensions, though the state government is yet to spell out its payment schedule in detail.
The Centre has also announced major changes to the Agnipath military recruitment scheme, while Chief Minister Pema Khandu has been engaging with groups across the state on issues from development to dialogue. For employees and pensioners, the DA hike is the decision that reaches straight into household budgets.
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