The long wait of lakhs of central government employees and pensioners is now over. The government finally 8th Pay Commission Has given official green signal to the formation of. This news is no less than good news, but at the same time the government has also put a full stop to a big debate going on in the Parliament regarding DA (Dearness Allowance).
For the last several months, there was a hot discussion on social media and in office canteens that the government can merge Dearness Allowance (DA) and Dearness Relief (DR) with the basic salary. But now the situation has become completely clear.
Milk becomes milk, water becomes water in Parliament
The biggest update on the issue came with the beginning of the winter session of Parliament. MP Anand Bhadauria asked a direct question to the government whether the notification of 8th Pay Commission has been issued and is the government going to merge DA with basic pay?
Minister of State for Finance on this Pankaj Chaudhary While replying, it was clarified that the 8th Pay Commission has been officially notified on 3 November 2025 itself. The command of the commission will be in the hands of Justice Ranjana Prakash Desai (Chairperson). Along with him, Professor Pulak Ghosh and Pankaj Jain will also be part of this commission.
The news of ‘DA merger’ was just a rumor
The biggest news for the employees is that the government currently has no intention of merging DA and DR with the basic salary. The Finance Ministry has clearly said that no such proposal is under consideration.
This simply means that even after crossing the 50% mark, DA will not automatically merge into basic pay. It will continue to be available as a separate component. Many people were speculating that DA may stop increasing after 2026, but the government has given relief by saying that nothing like this will happen. Your allowance will continue to increase as before, based on inflation data (AICPI-IW index) every 6 months.
What effect on your pocket?
Now the question is, what difference will this make to your salary? See, if DA was added to the basic salary, the basic pay of the employees would have increased. And since HRA (House Rent Allowance), PF and Gratuity are calculated on basic pay, there would have been an automatic increase in all these too.
But since the government has refused the ‘merger’, the basic salary structure will remain the same for now. However, the good thing is that DA is not going to stop, you will continue to get it at increased rates. Now all eyes are on the recommendations of the 8th Pay Commission to see what decision they give regarding fitment factor and minimum wage.
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