Anticipated Salary Hike for UP Employees Before Diwali: What to Expect from the 7th Pay Commission | 5 points 

As Diwali approaches, there are rising expectations for salary increases for Uttar Pradesh government employees. The state government is likely to announce a 4% hike in the Dearness Allowance (DA), which will benefit approximately 15 lakh government employees and 8 lakh pensioners. This decision is anticipated to add an estimated ₹3,000 crore burden on the state treasury. Additionally, non-gazetted employees may receive a bonus based on their basic salary and DA. Here’s a breakdown of the potential changes and what they mean for employees.

Expected DA Increase: The Uttar Pradesh government is projected to increase the DA by 4% for state employees ahead of Diwali. This adjustment is meant to help counter the rising cost of living.

Impact on Government Employees: Approximately 15 lakh government employees in UP stand to benefit from this hike. The increase will help enhance their financial stability during the festive season.

Additional Burden on State Treasury: The projected increase in DA will impose an additional burden of around ₹3,000 crore on the state’s finances, necessitating careful budget management.

Potential Bonus for Non-Gazetted Employees: Alongside the DA hike, there are expectations for bonuses for non-gazetted employees. The bonus will likely be calculated based on the employees' basic salaries and DA, with a slight increase expected from last year’s ₹7,000 allocation.

Historical Context: The 7th Pay Commission was established in February 2014 to address salary adjustments in line with inflation. This upcoming announcement reflects the commission's ongoing commitment to ensuring fair compensation for government employees.