Archive · 6 Sep 2026
Andhra Pradesh Announces DA Payments, Pension Hikes, Pay Commission
Andhra Pradesh has announced several benefits for government employees and pensioners.
Two delayed Dearness Allowance payments will be paid with the October 2026 salary.
The state will also create the 12th Pay Revision Commission.
This commission will examine pay changes that employees say have been delayed since July 2023.
From January 2027, pensioners over 70 will get 10% more pension.
Pensioners over 75 will get 15% more.
The government will also provide some surrender-leave payments and improve regular funding for the Employees Health Scheme.
These decisions will cost the state about ₹2,880 crore more each year, while some employee demands remain unresolved.
Andhra Pradesh will release two pending Dearness Allowance instalments with the October 2026 salary.
The state will appoint the 12th Pay Revision Commission for revisions due since July 2023.
Pensioners above 70 will receive 10% additional pension, while those above 75 will receive 15%, from January 2027.
The decisions are expected to cost the state an additional ₹2,880 crore annually.
The government also promised surrender-leave payments, Employees Health Scheme funding, and further discussions on unresolved employee demands.
- Who
- Andhra Pradesh Chief Minister N Chandrababu Naidu, state government employees, pensioners, teachers, and employee associations.
- What
- The government announced two DA instalment payments, a 12th Pay Revision Commission, pension increases, surrender-leave payments, and Employees Health Scheme funding.
- When
- The DA arrears are to be paid with the October 2026 salary; pension increases begin in January 2027. Other payments are linked to Sankranti and Dasara.
- Where
- Andhra Pradesh, India.
- Why
- The announcements aim to address long-pending employee and pensioner demands while supporting their welfare amid the state government’s financial constraints.
Government Commitments
Employee Concerns
Addressing delayed benefits
Government Commitments
The government says it is taking practical steps to resolve employee and pensioner issues and has announced payments and a pay commission despite financial constraints.
Employee Concerns
Employee representatives say workers have faced delayed DA and pay revisions, making it difficult to cope with inflation and rising costs.
Unresolved demands
Government Commitments
The chief minister has referred remaining issues involving contract, outsourcing, and Village/Ward Secretariat staff to officials and a Cabinet Sub-Committee.
Employee Concerns
Employee leaders say some demands remain pending and want further decisions on these groups and other employees.
- Annual cost
- ₹2,880 crore in additional expenditure
- DA instalments
- Instalments due from 1 July 2024 and 1 January 2025
- DA payment timing
- With the October 2026 salary
- Pay revision
- The 12th Pay Revision Commission will address revisions due from 1 July 2023
- Pension increase
- 10% additional pension above age 70 and 15% above age 75, from January 2027
- Surrender leave
- One annual surrender leave for civil employees and two for police personnel
- Health scheme
- Regular monthly payments to the NTR Vaidya Seva Trust from October 2026