Central Govt Employees Eye Festive DA Hike Before Holi in January 2026

• Central government employees and pensioners are likely to receive a 2% DA hike, reaching 60%, effective January 1, 2026.
• The hike is expected to be announced before Holi, possibly in March, benefiting over one crore individuals.
• This will be the first DA hike after the formal conclusion of the 7th Pay Commission on December 31, 2025.
• The 8th Pay Commission, constituted in November 2025, will submit its report within 18 months, with actual pay revisions expected by late 2027 or early 2028.
• Employee unions are concerned that smaller DA increases now could limit future salary revisions when DA merges into Basic Pay under the 8th Pay Commission.