The Sikkim government has increased the Dearness Allowance (DA) for state government employees and Dearness Relief (DR) for pensioners. These revised rates will be applicable from January 1, 2026. The decision was announced through a Finance Department circular issued on October 1, 2026. Around 50,000 employees and pensioners in Sikkim will benefit.
What Is DA?
DA stands for Dearness Allowance. It is an additional amount paid to government employees along with their salary. DA is related to the employee’s basic pay. It is provided to help employees manage the effect of rising prices and the cost of living.
What Is DR?
DR stands for Dearness Relief. It is similar to DA but is given to eligible government pensioners. DR is calculated as a percentage of the basic pension. It helps pensioners to manage the impact of rising prices.
What Is the New DA and DR Rate in Sikkim?
| Pay Structure | Earlier Rate | New Rate | Increase |
| Revised basic pay | 58% | 60% | 2 percentage points |
| Pre-revised basic pay | 257% | 262% | 5 percentage points |
What Is the New DA for All India Service Officers?
The Sikkim government has also revised DA for All India Service officers working under the state government. For AIS officers under the pre revised pay structure based on the Sixth Central Pay Commission. DA has increased from 257 per cent to 262 per cent. For AIS officers under the revised basic pay structure based on the Seventh Central Pay Commission the DA has increased from 58 per cent to 60 per cent.