The Madhya Pradesh government has announced a 4 per cent increase in dearness allowance (DA) for state employees, ahead of Diwali. As of January 1, 2024, this increase will increase the DA from the current 46% to 50%.

As of January 1, 2024, all government employees will receive DA at the new rate of 50%. The government also confirmed that the arrears accumulated following this increase will be disbursed during the current financial year, divided equally into four tranches.

Several other states like Uttar Pradesh and Arunachal Pradesh have also announced a hike in DA. While the UP government increased DA for its employees to 3% from July 1, the Arunachal Pradesh government approved a 3% increase in DA and Dearness Relief (DR) for employees regulars and retirees, starting July 1, 2024.

Just 10 days ago, on October 18, the central government announced a 3% increase in dearness allowance (DA) for central government employees, along with a similar increase in dearness allowance (DR) for retirees.

This increase is effective from July 1, 2024 and was confirmed during a council of ministers chaired by Prime Minister Narendra Modi. The DA rate will now increase from 50% to 53% of the basic salary, providing a financial boost to civil servants and retirees.