Overview
- Official data show the AICPI-IW at 148.2 in December 2025, supporting estimates of a central DA rise from 58% to about 60% effective January 1, 2026 if approved.
- Media and union sources speculate the Centre could announce the January–June DA revision in early March before Holi, though recent five-year trends point to post-Holi decisions when the festival falls early.
- Kerala’s finance department order dated February 20 lifts DA and DR for state employees and pensioners from 25% to 35%, with higher DA in March salaries and higher DR with April pensions.
- The Kerala order covers state staff, teachers, local-body employees, part-time and contingent workers, and re-employed pensioners, while PSUs and autonomous bodies must assess finances or seek approval, and KSEB and KSRTC will issue separate directions.
- The 7th Pay Commission ended on December 31, 2025, and the 8th Pay Commission has opened an 18-question consultation on MyGov with responses due by March 16, 2026.