The Government of Sikkim has announced an increase in Dearness Allowance (DA) and Dearness Relief (DR) for its employees and pensioners, according to a circular issued by the Finance Department on March 18, 2026.
As per the notification, DA for state government employees under the revised pay structure has been enhanced from 55% to 58%, effective from July 1, 2025. Similarly, pensioners will also receive Dearness Relief at the revised rate.
For employees and officers drawing pay under the pre-revised structure as per the 6th Central Pay Commission (CPC), DA has been increased from 252% to 257%.
The revised rates will also be applicable to All India Service officers serving in the state. Additionally, employees appointed on a contract basis and those under work-charged establishments will be eligible for the enhanced DA, subject to existing norms.
The Finance Department further stated that DA payments involving fractions will be rounded off to the nearest rupee, with amounts of 50 paise and above rounded up.
