Cabinet clears 3% hike in dearness allowance
Press Trust of India
New Delhi 29.10.2026
The Cabinet on Wednesday approved a 3% hike in dearness allowance and dearness relief, benefiting over 1.17 crore Central government employees and pensioners.
Announcing the decision, Information and Broadcasting Minister Ashwini Vaishnaw said the Union Cabinet headed by Prime Minister Narendra Modi has taken the decision ahead of Deepavali. The hike will be effective from July 1, 2026. It will benefit 48.54 lakh employees and 68.71 lakh pensioners.
The Cabinet also approved the Container Manufacturing Promotion Scheme with a budgetary outlay of ₹10,000 crore up to FY40 to promote a globally competitive container manufacturing ecosystem in India.