Arunachal announces 2 per cent hike in Dearness Allowance, Dearness Relief

The Arunachal Pradesh government has approved a 2 per cent increase in Dearness Allowance (DA) and Dearness Relief (DR), effective from January 1, 2025. The raise will boost the existing rate from 53 per cent to 55 per cent of the basic pay and pension.

This adjustment will benefit All India Services (AIS) officers serving in or posted under the state government, as well as Central Government employees on deputation, state government employees, pensioners, and family pensioners.

The financial impact of the revision is expected to be around Rs 73.22 crore over the next 14 months, with a monthly cost of Rs 5.23 crore. For the initial four months, from January to April 2025, the DA will incur Rs 20.80 crore, and DR will account for Rs 0.12 crore, making the total expenditure for the period Rs 20.92 crore.

To provide immediate financial relief, the government has decided to disburse the arrears in cash to employees and pensioners. From May 2025, the revised DA and DR rates will be reflected in monthly salary and pension payments.

Chief Minister Pema Khandu expressed his appreciation for government employees and highlighted that the decision underlines the government's commitment to employee welfare. He also conveyed his hope that the move would inspire greater dedication and hard work from the state's workforce.