Chief Minister Pushkar Singh Dhami approved the proposal to increase DA by 3% on Thursday. The revised rate will be effective from July 1, 2026.
The benefit will extend to state government employees, as well as eligible personnel working in local bodies, aided educational institutions, state universities, technical educational institutions and institutions covered under the UGC pay scale.
Eligible employees will receive the difference in DA for the period from July 1, 2026, to October 31, 2026, as cash arrears.
The Uttarakhand government's announcement comes after the Central Government also approved a 3% increase in DA for employees receiving salaries under the Seventh Central Pay Commission. On October 28, the Union Cabinet approved a 3% hike in Dearness Allowance for serving employees and Dearness Relief (DR) for pensioners. The decision is expected to benefit around 1.17 crore central government employees and pensioners.
Information and Broadcasting Minister Ashwini Vaishnaw announced the Cabinet decision and described it as a Diwali gift.
Gujarat has also announced a 3% increase in DA for its 4.62 lakh serving government employees and 5.07 lakh pensioners. The decision will provide relief to more than 9.69 lakh beneficiaries and will be effective from July 1, 2026.
The four months of arrears from July to October 2026 will be paid as a lump sum along with November salaries and pensions. The increase will benefit employees working in state government departments, panchayat services and other organisations. Retired employees covered under the Sixth and Seventh Pay Commissions will also receive the benefit.
In Punjab, Chief Minister Bhagwant Singh Mann announced a 3% increase in Dearness Allowance and Dearness Relief as a Diwali gift for around eight lakh government employees and pensioners. Following the announcement, the DA rate in the state has increased to 53%.
The revised allowance will come into effect from November 1 and will be included in salaries and pensions paid in December.
Addressing a press conference, Mann said government employees were receiving 28% DA when his government assumed office in 2022, and the rate had now increased to 53%. Following an 8% increase announced in September, the latest decision takes the total increase to 11% within two months. He claimed that no government had previously announced such a significant increase in DA within such a short period.
Rajasthan government employees and pensioners have also received a 3% increase in Dearness Allowance and Dearness Relief. The state government approved the proposal on Friday. According to the statement, Chief Minister Bhajanlal Sharma announced the benefit ahead of Diwali.
With the latest revision, DA and DR in Rajasthan will increase from 60% to 63%. More than seven lakh government employees and over five lakh pensioners across the state are expected to benefit.
Meanwhile, Madhya Pradesh Chief Minister Mohan Yadav announced a 2% increase in Dearness Allowance for state government officers and employees, along with an increase in Dearness Relief for pensioners, ahead of Diwali.
An official said employees would receive the increased DA with effect from January 2026, while pensioners would receive the revised Dearness Relief from July 2026.
Announcing the decision on social media, Chief Minister Mohan Yadav said the state government had always stood by the interests of its employees. He stated, "The state government is increasing the Dearness Allowance of officers and employees by 2%. It will be payable from January."
With Uttarakhand, Gujarat, Punjab, Rajasthan and Madhya Pradesh announcing revisions, government employees and pensioners in several states have received DA and DR increases ahead of Diwali, with revised rates and payment schedules varying from state to state.
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