india employmentnews

2% DA Hike: Good News for Employees – Odisha, UP, Rajasthan and Centre Approve Increased Dearness Allowance from January 2025

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In a welcome move for government employees and pensioners, several state governments including Odisha, Uttar Pradesh, Rajasthan, and the Central Government have approved a 2% hike in Dearness Allowance (DA). This hike, effective from January 1, 2025, raises the DA from 53% to 55%, providing significant financial relief to millions.

📍 Odisha: 8.5 Lakh Employees & Pensioners to Benefit

On Friday, Odisha Chief Minister Mohan Charan Majhi announced a 2% DA hike for state government employees and pensioners, increasing DA from 53% to 55%. Key details include:

  • Effective Date: January 1, 2025 (retrospective)

  • Payment Mode: Cash with April 2025 salary

  • Beneficiaries: ~8.5 lakh employees and pensioners

📍 Uttar Pradesh: 16 Lakh Employees Covered

The UP Government also approved a 2% DA hike, aligning with the Central Government’s decision. The updated DA will also be effective from January 1, 2025. Key highlights:

  • DA Increased: 53% → 55%

  • Beneficiaries: ~16 lakh employees

  • Purpose: Aligning with 7th Pay Commission policies

📍 Rajasthan: DA + GPF Benefit

The Rajasthan Government has similarly hiked the DA by 2% for state employees and pensioners, benefiting 12.4 lakh people. Unique provisions include:

  • Effective from: January 1, 2025

  • Cash Payment: From April 2025 salary (paid in May)

  • Arrears (Jan–Mar): Deposited in GPF accounts

🏛️ Central Government: Over 1 Crore Employees Covered

Earlier, the Central Government also approved a 2% DA hike under the 7th Pay Commission norms:

  • Revised DA: 53% → 55%

  • Effective Date: January 1, 2025

  • Pensioners Included: Yes

  • Beneficiaries: Over 1 crore employees and pensioners

💡 Summary of DA Hike Across India

Region DA Increase Effective From Beneficiaries
Central Govt 2% (53→55%) Jan 1, 2025 1+ crore
Odisha 2% Jan 1, 2025 8.5 lakh
Uttar Pradesh 2% Jan 1, 2025 16 lakh
Rajasthan 2% Jan 1, 2025 12.4 lakh (GPF benefit)