Uttar Pradesh Chief Minister Yogi Adityanath has announced an increase in Dearness Allowance (DA) and Dearness Relief (DR) rates for the state’s employees and pensioners in a festive gesture ahead of Diwali. According to the decision taken on Thursday, all eligible 16.35 lakh government employees and 11.52 lakh pensioners and family pensioners will receive the benefit of DA and DR at a revised rate of 58%, up from the previous 55%, effective 1 July 2025.
State Committed to Employee Welfare
Announcing the hike, Chief Minister Yogi Adityanath said the state government remains fully committed to the welfare of its employees and pensioners.
“Providing relief from inflation and improving their standard of living is our top priority,” he said.
He described the decision as a reflection of empathy and respect towards lakhs of state employees and pensioners, expressing hope that the Diwali gift would bring “new energy, happiness, and prosperity” into their lives.
Hike Covers All Eligible Employee Groups
The increased DA and DR rates will apply to all eligible employees, including staff of aided educational and technical institutions, regular and full-time employees of urban local bodies, those holding charge-based positions, and employees under the UGC pay scale.
Payment from October 2025
The Chief Minister also directed that the enhanced DA and DR be paid in cash starting from October 2025.
The decision is expected to put an additional financial burden of ₹1,960 crore on the state exchequer by March 2026.
In November 2025, the state will incur an expenditure of ₹161 crore and ₹84 crore towards DA and DR payments for October. Additionally, arrears from July to September 2025 will cost ₹298 crore and ₹252 crore, respectively — bringing the total additional cash outflow in November 2025 to ₹795 crore.
For employees covered under the Old Pension Scheme (OPS), ₹185 crore will be deposited into the General Provident Fund (GPF), while from December 2025, the government will bear an extra monthly expenditure of ₹245 crore.
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