The Telangana government has sanctioned two pending Dearness Allowance (DA) instalments for its employees, clearing arrears worth Rs.6,174 crore accumulated between January 2024 and September 2026, according to orders reported by Deccan Chronicle.
The first instalment, due from January 1, 2024, carries a DA increase of 3.64 percentage points. Its arrears for 33 months, from January 2024 to September 2026, amount to Rs.3,810 crore. With this instalment, the cumulative DA for employees will rise to 37.31 per cent.
The second instalment is due from July 1, 2024. It represents an increase of 2.73 percentage points and carries arrears for 27 months, covering July 2024 to September 2026. The arrears for this instalment total Rs.2,364 crore. Once applied, the cumulative DA will increase to 40.04 per cent.
Together, the two instalments account for Rs.6,174 crore in pending payments to government employees. The arrears cover a period during which the state had five DA instalments pending, according to the report.
Dearness Allowance is linked to the compensation paid to government employees and is intended to account for changes in the cost of living. For employees, the release of arrears affects the immediate payment due to them as well as the revised monthly allowance going forward. The orders therefore have implications beyond a one-time settlement, because the higher cumulative DA becomes part of the ongoing compensation calculation.
The state has not yet cleared all five pending instalments. The instalment due from January 1, 2025, is listed at 1.82 percentage points, while the instalment due from July 1, 2025, is listed at 2.73 percentage points. If both are applied, the cumulative DA would reach 44.59 per cent, according to the figures reported by Deccan Chronicle.
The release of the two instalments also places the arrears within the state’s public expenditure framework. The government’s orders establish the amounts and periods covered for the two payments, while the remaining instalments continue to be listed separately. The report does not specify a payment schedule for the arrears or indicate when the later instalments will be sanctioned.
The decision will be relevant to government employees across Telangana, including those posted in Hyderabad and other urban centres, where household expenses and public-sector employment are closely connected to the state’s salary commitments. The immediate financial effect will depend on individual pay levels and the manner in which the arrears are disbursed.
The government has issued orders for the January 2024 and July 2024 instalments. Further information on the payment schedule and the two subsequent DA instalments was not included in the report.
