The Uttar Pradesh government on Saturday increased the dearness allowance (DA) by 3% for state employees, staff of aided educational and technical institutions, regular and full-time employees of urban local bodies, work-charged staff, and those drawing UGC pay scales.
Employees will now receive a DA of 63%, up from the previous 60%. This increased rate will be effective from July 1, 2026. A government order to this effect was issued on Saturday. said a press statement issued by state government.
The increased DA will be disbursed along with the regular salary for November 2026. The decision will benefit lakhs of employees across the state, providing relief not only to regular state employees but also to staff in aided educational institutions, urban local bodies, and other eligible categories, said the press statement.
According to the GO, specific arrangements have been made for the payment of DA arrears—accrued from July 1, 2026 to October 31, 2026—for various categories of employees. For employees covered under the General Provident Fund (GPF), the arrears (after deductions for income tax and surcharges) will be credited to their respective GPF accounts.
For employees covered under the National Pension System (NPS), 10% of the arrears amount will be deposited into their Tier-1 pension accounts. Additionally, the state government, in its capacity as the employer, will contribute an amount equivalent to 14% of the arrears into the same Tier-1 account. The remaining 90% will either be deposited into a Public Provident Fund account or provided in the form of National Savings Certificates.
{{/usCountry}}For employees covered under the National Pension System (NPS), 10% of the arrears amount will be deposited into their Tier-1 pension accounts. Additionally, the state government, in its capacity as the employer, will contribute an amount equivalent to 14% of the arrears into the same Tier-1 account. The remaining 90% will either be deposited into a Public Provident Fund account or provided in the form of National Savings Certificates.
{{/usCountry}}