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Can DA hike be announced this week? Experts weigh in

As of late June 2026, central government employees have been awaiting the Department of Administrative Reforms and Public Grievances (DA) hike announcement from the Ministry of Finance. The anticipated DA rate stands at 63%, marking a 3% increase from the previous rate of 60%.

Manjeet Singh Patel, president of the All India New Pension Scheme Employees’ Federation, expects the DA hike announcement to be made within the coming week. A source close to the All India Defence Employees’ Federation also hinted that the announcement is expected to occur this week, as the necessary file is already in process.

One prominent official from the Confederation of Central Government Employees & Workers (CCGEW) further suggested that the DA hike could be announced as early as the first week of October. Historically, the government typically announces the DA hike before a major festival, but in recent years, the announcements have come after the festival, such as Dussehra in October.

The DA calculation is based on the 12-month average of the All India Consumer Price Index for Industrial Workers (AICPI), which is issued by the Labour Bureau at the end of each month. For the upcoming DA hike, the average reading will be calculated from July 2025 to June 2026, resulting in an average index value of 148.65. Applying the DA formula, the DA for June 2026 is estimated to be approximately 63.76%, which is rounded off to 63%.

The government's formula for DA calculation involves subtracting 261.42 from the 12-month average of AICPI, then dividing the result by 261.42 and multiplying by 100 to obtain the DA percentage. The factor of 2.88 is used to adjust the base year from 2016 to the 2001 base year, which is essential for accurate DA calculation.

Written by urgent.news from The Economic Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Read the original at economictimes.indiatimes.com →

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