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Updated Oct 31, 2026 · 18:24
Tamil Nadu News Updated Oct 31, 2026

Tamil Nadu raises DA to 63 per cent from 60 per cent

Tamil Nadu Chief Minister C. Joseph Vijay has ordered dearness allowance raised from 60 per cent to 63 per cent for state employees and teachers. The revision takes retrospective effect from July 1 and covers about 16 lakh employees, teachers, pensioners and family pensioners at an added cost of Rs 1,858 crore a year. The state matched the Centre's own DA increase to 63 per cent, though the notification does not say when arrears will be paid.

Tamil Nadu raises DA from 60 pc to 63 pc, effective July 1

Chennai, Oct 31

Tamil Nadu Chief Minister C. Joseph Vijay has ordered a three-percentage-point increase in dearness allowance for government employees and teachers, with pensioners and family pensioners also benefiting from the revision announced ahead of Deepavali.

The increase, which raises the allowance from 60 per cent to 63 per cent, will take retrospective effect from July 1, 2026. Approximately 16 lakh employees, teachers, pensioners and family pensioners will benefit, according to a notification issued by the state government.

The measure will impose an additional annual expenditure of Rs 1,858 crore on the state exchequer. The government said it would allocate the additional funds required to implement the revision as part of its commitment to the welfare of serving and retired personnel.

The decision follows the Union government's increase in dearness allowance for central government employees from 60 per cent to 63 per cent, effective July 1.

Tamil Nadu has adopted the same revised rate and commencement date for its employees and teachers.

In its notification, the government highlighted the contribution of government officials and teachers to the formulation and implementation of welfare schemes. It said their work played an important role in ensuring that programmes designed for public welfare were implemented effectively.

The administration was introducing and carrying out various initiatives for the benefit of the people, the notification said.

Government employees and teachers were key participants in this process, contributing both to the planning of programmes and their delivery. Recognising these responsibilities and giving priority to employee welfare, the Chief Minister considered the revision following the Centre's announcement and ordered the corresponding increase for the state workforce, the government said.

The notification also emphasised the inclusion of pensioners and family pensioners among the beneficiaries. The financial commitment, it said, reflected the government's concern for all four groups covered by the announcement.

With Deepavali approaching, the government said the increase would help beneficiaries celebrate the festival with greater happiness.

The announcement places the welfare of employees, teachers and pension-dependent households at the centre of the festive-season measure.

Although the revised allowance takes effect retrospectively from July, the notification provided in the announcement does not specify when arrears will be paid. It confirms the effective date, the revised rate, the estimated number of beneficiaries and the recurring annual expenditure the state will bear under the decision.

— IANS

Reader’s Guide · AI-assisted, based only on the report above

What the report makes clear: The revised rate, its July 1 effective date, the number of beneficiaries and the annual cost to the state exchequer.

Still open: The report does not yet say when the arrears from July will actually be paid to beneficiaries.

Another way to look at it: The recurring Rs 1,858 crore commitment adds to the state's annual salary bill, which matters for future budget planning.

Should states match central DA rates automatically, or set their own pace?

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