Punjab Chief Minister Bhagwant Singh Mann has announced a 3% dearness allowance (DA) hike for state government employees and 3% dearness relief (DR) for pensioners, as a Diwali gift. The announcement was made on Wednesday, 4 November 2026 in Chandigarh.
What changed
- DA: 50% → 53%
- DR for pensioners: also up 3%
- Effective from 1 November 2026
- The higher amount will be paid with December salaries and pensions
Who benefits
Nearly 8 lakh people — about 4 lakh serving employees and about 3.5 lakh pensioners.
The cost
The annual financial benefit is about ₹3,988 crore, as per the Chief Minister’s figure. DA had already risen from 42% to 50% in September 2026 — this is the second hike in two months, taking the total rise to 11 points.
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