In a significant development for lakhs of government workers, the Supreme Court of India on Friday directed the West Bengal government to pay 25 per cent Dearness Allowance (DA) to all state government employees. The interim order, passed by a bench of Justices Sanjay Karol and Sandeep Mehta, comes with a three-month deadline for implementation. The matter has been listed for further hearing in August.
The Supreme Court’s direction comes in the wake of a long-running legal battle over DA parity between state and central government employees. The issue began when a group of West Bengal employees approached the Calcutta High Court, seeking DA at par with central government staff along with pending arrears. In May 2022, the High Court ruled in favor of the employees, ordering the state to match the central DA rates.
In November 2022, the West Bengal government appealed the High Court ruling in the Supreme Court. Since then, the state has made only marginal increases to the DA rate, including a 4 per cent hike in April 2025, bringing it to 18 per cent—far below the 55 per cent DA currently received by central government employees.
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The DA, a crucial component of government employees’ salaries, is meant to offset inflation and rising living costs, and is revised periodically based on economic indicators. The wide gap between state and central DA rates has led to increasing dissatisfaction among more than 10 lakh West Bengal government employees and pensioners.
The Supreme Court’s interim order is seen as a partial relief as employees continue to push for full DA parity. The court’s final decision in August is expected to be a key moment in resolving the ongoing dispute.