18 May 2026 – In a significant financial announcement that will benefit lakhs of government employees and pensioners across Jammu and Kashmir, the UT administration has issued orders hiking the Dearness Allowance rate by 2 percentage points, bringing it to 60 percent. The Finance Department issued two separate orders covering both regular employees and pension recipients, along with a commitment to clear pending arrears.
The timing of the announcement — ahead of the mid-year — comes as relief for a workforce that has been grappling with rising living costs in the Union Territory. Dearness Allowance is a cost-of-living adjustment paid to government employees to cushion the impact of inflation, and its periodic revision is a standard expectation in the central and UT pay structures. The 60 percent DA rate aligns J&K with the trajectory being followed by central government employees under the 7th Pay Commission.
Separately, a second order issued simultaneously enhanced the DA for employees still operating under the older 6th Pay Commission structure to 262 percent — a distinct revision applicable to a smaller cadre of staff whose pay matrix was not revised under the 7th Commission. Arrears due as a result of both revisions will be disbursed, though the Finance Department’s order did not specify an exact timeline for payment. The dual announcement reflects an effort by the Omar Abdullah-led government to demonstrate fiscal care toward its large public sector workforce.
