20-12-2025 12:00:00 AM
The Telangana government employees and pensioners continue to endure a prolonged wait for the second installment of Dearness Allowance (DA), as pledged in the Government Order (G.O. Ms. No. 78) issued by the Finance Department on June 13, 2025. The six-month timeline outlined in the order for releasing the DA effective from July 1, 2023, expired on December 13, 2025, yet no official announcement has come yet, leaving lakhs of employees in anticipation of what they hope will be a New Year relief.
The June 2025 G.O. marked a significant step by revising the DA rate from 26.39% to 30.03% of basic pay for employees under the Revised Pay Scales, 2020, effective retrospectively from January 1, 2023. This adjustment, aligned with the Central Government's Office Memorandum dated April 3, 2023, was the first of two installments approved by the Telangana Cabinet in early June 2025, out of five pending DAs accumulated due to inflation adjustments based on the Consumer Price Index (CPI).
The order explicitly stated: "In respect of D.A pending w.e.f. 1.7.2023, orders will be issued separately after (6) months." The revised DA was incorporated into the June 2025 salaries, payable on July 1, 2025, with arrears from January 1, 2023, to May 31, 2025, credited to employees' General Provident Fund (GPF) accounts or paid in 28 equal monthly installments for retirees, Contributory Pension Scheme (CPS) holders, and full-time contingent workers.
However, with the six-month period now lapsed by a week, Employee Associations, including the Joint Action Committee (JAC) of Telangana Employees, Gazetted Officers, Teachers, Workers & Pensioners, have voiced frustration over the delay. In a representation submitted to the Principal Secretary, Finance Department on Friday, the JAC highlighted that five DA installments were pending from July 1, 2023, to July 1, 2025, as assured during resolutions of 64 employee demands. The letter urged immediate release of the pending DA from July 1, 2023, noting that the government had committed to biannual revisions to offset inflation's impact on salaries.
Employee leaders emphasize that even after the second DA is released, four more installments remain outstanding: January 1, 2024; July 1, 2024; January 1, 2025; and July 1, 2025. Come January 1, 2026, another DA will add to the backlog. "We have met the Chief Secretary and Principal Secretary (Finance) recently to press for action," stated JAC representatives, underscoring the financial strain on employees amid rising costs.
DA, a crucial component of salary structures, particularly benefits lower-pay-band workers by neutralizing inflation. The revision applies broadly to employees of Zilla Parishads, Municipalities, universities, aided institutions etc. As the wait persists, the JAC appeals for swift issuance of the second DA as a gesture of goodwill, potentially as a New Year gift.