Madhya Pradesh Govt Announces 3% DA Hike For Employees And Pensioners, Benefits 10 Lakh People

(MENAFN- Live Mint) The Madhya Pradesh cabinet announced a 3 per cent DA (Dearness allowance ) hike for its employees and pensioners on Monday, as per a report by news agency PTI.

The hike is set to benefit around seven lakh employees and three lakh pensioners, as per the report. It will come at a cost of ₹2450 crore per year for the state's exchequer.

"The decisions were taken at a cabinet meeting chaired by Chief Minister Mohan Yadav at the Mantralaya. The cabinet also approved several welfare proposals, including a micro irrigation project in Rewa district and a training scheme for Other Backward Category youth," an official told PTI.

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"The 3 per cent hike for state government employees under Seventh Pay Commission takes DA to 58 per cent with effect from July 1, 2025. The finance department has been authorised to revise DA proportionately for employees under earlier pay scales," he added.

When will arrears be paid?

Arrears that come in the range of 1 July, 2025 to 31 March, 2026, will be paid in six instalments starting May. The final instalment will be paid in October.

The arreas for retired or deceased employees for the period of 1 January 2025 to 31 March 2026 will be paid in lump sum, as per the report.

Pension relief has also been announced by the MP cabinet. Under the Seventh Pay Commission, pension relief will be 58 per cent, while under Sixth Pay Commission, the same will be 257 per cent.

Cabinet sanctions more schemes

"The cabinet approved the 'Shaurya Sankalp Training Scheme 2026' to train OBC youth for recruitment in armed forces and other security services. Under the scheme, 4,000 youths will receive residential training annually with monthly stipends. Male trainees will get ₹1,000 per month and female trainees ₹1,100 per month. At least 35 per cent seats will be reserved for women candidates," the official said.

A monthly honorarium of ₹18,000 has been announced for guest teachers working in institutions for persons with disabilities.

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The Cabinet has also decided to work on increasing the supplementary nutrition at anganwadis for severely underweight children who fall in the age bracket of six months to six years.

A number of schemes starting in 2026-27 and ending in 2030-31 have also been approved.

"These include ₹2,933 crore for rural housing and transport infrastructure and ₹691 crore for construction works under the public works department, ₹865 crore for food and civil supplies schemes, including Smart PDS and Mukhyamantri Ration Aapke Gram," the official told PTI.

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