THIRUVANANTHAPURAM, Dec 11, 2025 — The State of Kerala has cemented its position as the nationwide leader in Dearness Allowance (DA) arrears owed to government employees and teachers, with the total outstanding amount now confirmed to stand at a formidable 14%.
The latest surge comes after the state government granted a 3% hike in DA to All India Civil Service (IAS) officers and Judicial officers, effective July 1, 2025, mirroring the announcement made by the Central government. However, this increment has not been passed on to the vast majority of state government employees, leading to a significant accumulation of debt.
Prior to the July 2025 announcement, the accumulated arrears stood at 11%. The addition of the latest 3% installment has pushed the total DA arrears to 14%.
The situation has created considerable confusion among service organizations. While opposition groups have cited a 13% arrear figure in their notices, sources close to the Finance Department confirm the actual accumulated percentage is higher. Ruling-party service organizations, meanwhile, have maintained silence on the matter.
The full breakdown of the accumulated DA arrears is as follows:
- July 2023: 3%
- January 2024: 3%
- July 2024: 3%
- January 2025: 2%
- July 2025: 3%
