The Assam Government has officially notified a two per cent increase in Dearness Allowance (DA) and Dearness Relief (DR) for its state government employees and pensioners, raising the rate from 58 per cent to 60 per cent of Basic Pay or Basic Pension with immediate effect. The revised rates will be paid along with the salary and pension for June 2026, disbursed in July 2026.

This decision, approved by the state cabinet on June five, 2026, and formally notified on Tuesday, June 17, 2026, is set to benefit over eight lakh serving employees and retired personnel across Assam. The hike aims to provide financial relief amidst rising living costs and align state allowances closer to those of the central government.

What was announced

The Assam Government’s Finance Department issued an Executive Order on Tuesday, June 17, 2026, formally notifying the two per cent hike in Dearness Allowance and Dearness Relief. The increase elevates the DA/DR rate from the existing 58 per cent to 60 per cent of the Basic Pay or Basic Pension. The order stipulates that the revised rates are effective immediately.

Chief Minister Himanta Biswa Sarma had announced the cabinet’s approval for this hike following a meeting on June five, 2026. He shared the decision on social media, underscoring the government’s commitment to the welfare of its workforce and pensioners.

Why it matters

The increase in DA and DR is significant for a substantial segment of Assam’s population. More than eight lakh beneficiaries, including serving state government employees, pensioners, family pensioners, extraordinary pensioners, and compassionate family pensioners, will receive enhanced monthly payouts.

Dearness Allowance and Dearness Relief are crucial components of remuneration designed to offset the impact of inflation and rising cost of living. This revision is expected to help employees and pensioners maintain their purchasing power, providing additional financial support in the face of inflationary pressures.

Background

Dearness Allowance (DA) and Dearness Relief (DR) are cost-of-living adjustments provided by the government to its employees and pensioners, respectively. These allowances are typically revised twice a year, usually in January and July, based on the All-India Consumer Price Index (AICPI) to compensate for price increases.

The Assam government’s decision follows a similar move by the Central Government earlier this year. The Union Cabinet, in April 2026, approved a two per cent increase in DA and DR for central government employees and pensioners, raising their rates to 60 per cent of basic pay, effective from January one, 2026. Prior to this, the central government had hiked DA and DR to 50 per cent from January one, 2024.

State governments often follow the central government’s pattern in revising these allowances to ensure parity and address the financial needs of their workforce. The current hike brings Assam’s DA/DR rate in line with the latest central government rates. Other states, including Arunachal Pradesh, Bihar, Odisha, Tamil Nadu, and Uttar Pradesh, have also announced DA/DR hikes in 2026.

Key details

The two per cent increase in Dearness Allowance and Dearness Relief will raise the rates from 58 per cent to 60 per cent of the Basic Pay for employees and Basic Pension for pensioners.

The revised rates are effective immediately following the notification on June 17, 2026. The enhanced DA and DR will be disbursed along with the salary and pension for June 2026, which will be credited in July 2026.

The beneficiaries include a wide range of state government personnel, specifically:

  • Serving state government employees
  • Pensioners
  • Family pension holders
  • Extraordinary pension holders
  • Compassionate family pension holders

All those drawing pay and pension under the Assam Services (Revision of Pay) Rules, 2017, are eligible for this revision.

Reactions

Chief Minister Himanta Biswa Sarma reiterated the state government’s commitment to the welfare of its employees and pensioners. “Our employees and pensioners are valued partners in Assam’s growth story. To further support them, the Assam Cabinet has approved a two per cent increase in DA and DR, taking it from 58 per cent to 60 per cent from this July,” Chief Minister Sarma said. He added that the government remains dedicated to their welfare and well-being.

Officials familiar with the matter stated that the increase is intended to partially offset inflationary pressure on fixed incomes and strengthen social security for retired workers.

What’s next

The revised Dearness Allowance and Dearness Relief will be reflected in the salaries and pensions disbursed from July 2026 onwards, covering the month of June 2026. The government regularly reviews DA and DR rates, typically twice a year, to adjust for inflation. Future revisions will depend on the prevailing economic conditions and the All-India Consumer Price Index.

Quick FAQs

Who is eligible for the DA/DR hike?

All serving state government employees, pensioners, family pensioners, extraordinary pensioners, and compassionate family pensioners drawing pay and pension under the Assam Services (Revision of Pay) Rules, 2017, are eligible.

When will the increased amount be credited?

The enhanced Dearness Allowance and Dearness Relief will be paid along with the salary and pension for June 2026, which will be disbursed in July 2026.

What is Dearness Allowance (DA) and Dearness Relief (DR)?

Dearness Allowance (DA) is a component of salary paid to government employees to offset the impact of inflation, while Dearness Relief (DR) serves the same purpose for pensioners. Both are calculated as a percentage of basic pay or basic pension and are revised periodically based on inflation indices.

Sources & References