Punjab Chief Minister Bhagwant Singh Mann on Wednesday announced a three percentage-point increase in Dearness Allowance (DA) for state government employees and Dearness Relief (DR) for pensioners as a Diwali gift. The increase will take effect from November 1 and be reflected in salaries and pensions paid in December, benefiting nearly eight lakh employees and pensioners.
In a post on X, Mann said the latest revision would take DA to 53%, up from 28% when his government took office in 2022. He said the increase would provide employees an annual financial benefit of approximately ₹3,988 crore. The announcement follows an eight percentage-point hike in September, taking the increase over the past two months to 11 percentage points.
At a press conference, Mann described employees and pensioners as the backbone of the state's administrative machinery, citing their role in addressing public grievances, maintaining law and order and implementing welfare schemes. He said the government's public welfare initiatives had been supported by their contribution.
The Chief Minister said his government had provided 71,777 government jobs over four years and nine months through recruitment based on merit, without bribery or recommendations. He added that he preferred dialogue to resolve employees' pending demands and that the government remained open to discussions.
Mann said the 11 percentage-point increase announced over two months would benefit employees and pensioners by ₹1,813 crore during the current financial year. He also referred to liabilities arising from the Sixth Punjab Pay Commission, whose recommendations were implemented in July 2021, although benefits were due from January 1, 2016.
{{/usCountry}}Mann said the 11 percentage-point increase announced over two months would benefit employees and pensioners by ₹1,813 crore during the current financial year. He also referred to liabilities arising from the Sixth Punjab Pay Commission, whose recommendations were implemented in July 2021, although benefits were due from January 1, 2016.
{{/usCountry}}According to Mann, arrears of around ₹14,191 crore had accumulated for the period up to June 30, 2021. He said the government had released ₹4,891 crore so far under a phased payment plan, including pensioners' arrears from April 1, 2025, and serving employees' arrears from April 1, 2026. The remaining ₹9,300 crore would also be paid, he said.