- Employee organizations want 18 months DA/DR arrear payment of Covid.
- The government refused to pay the arrears citing financial pressure.
- Eighth Pay Commission constituted, will submit its report by May 2027.
- The recommendations of the Pay Commission may be implemented by the end of 2027.
DA/DR Arrears: The 8th Pay Commission has now come into full action mode for lakhs of central government employees and pensioners. Meetings are being organized in different states, suggestions are being taken from different employee organizations and they are being brainstormed. Employee organizations are also openly putting forward their demands before the Pay Commission. In this sequence, now their demand has also been made for 18 months of Dearness Allowance (DA) and Dearness Relief (DR) arrears that were stopped during the Covid-19 pandemic.
In fact, during the economic crisis of the Corona epidemic, the government had stopped the payment of three installments of DA.
1 January 2020 to 30 June 2020
1 July 2020 to 31 September 2020
1 January 2021 to 30 June 2021
During these total 18 months, the government had saved Rs 34,402.32 crore by banning DA. This money was used by the government for many welfare schemes. Now there is a continuous demand from employee unions and organizations to release this arrears, which has already been rejected by the government.
What is the stance of the government?
It has already been clarified by the Finance Ministry that 18 months DA/DR will not be given to central employees and pensioners during the Corona period. The government has already made it clear on the floor of the House that during the time of Corona, the government was under financial pressure, hence DA/DR was stopped in three installments. At present, there is no proposal under consideration to release the arrears during that period. The Finance Ministry says that considering the current pressure on the budget, there is no point in paying dearness allowance for the last 18 months.
When will the 8th Pay Commission be implemented?
The government constituted the Eighth Pay Commission in November 2025. Under this, the Commission has been given 18 months time to prepare its report. Accordingly, the commission will submit its report to the government by May 2027. After receiving the report it will be reviewed. Then, with Cabinet approval, it can be fully implemented by mid or late 2027.
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