Bank DA Hike from August 2026: AIBEA Issues 12th BPS Circular (27.83%)
The All India Bank Employees’ Association (AIBEA) has officially released Circular Letter No. 30/11/2026/37, dated July 31, 2026, detailing the revised Dearness Allowance (D.A.) rates for bank employees and pensioners under the 12th Bipartite Settlement.
The new rates will take effect from August 2026, following an increase in the Consumer Price Index (CPI) average.
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1. Consumer Price Index Breakdown & D.A. Rate
The revised allowance is based on the average Consumer Price Index for the quarter ending June 2026:
DA Calculator for Bank Employees
- April 2026 CPI: 149.90
- May 2026 CPI: 150.80
- June 2026 CPI: 151.90
- Average CPI: 150.86
- Increase over Last Average (148.73): +2.13 points
- Revised D.A. Rate: 27.83% (calculated @ 1% for points over 123.03 of average index CPI 2016=100).
2. D.A. Details for Sub-Staff & Clerical Staff
The published table includes D.A. amounts across various basic pay scales, incorporating Basic Pay, Special Allowance, and Transport Allowance:
Sub-Staff (Key Scale Examples)
| Scale Stage | Basic Pay (₹) | Revised D.A. (₹) | Increase / Month (₹) |
| Stage 1 | 19,500 | 7,101.52 | +543.52 |
| Stage 10 | 26,310 | 9,498.98 | +727.01 |
| Stage 20 | 37,815 | 13,549.31 | +1,037.01 |
| Stage 31 | 52,610 | 18,757.88 | +1,435.66 |
Clerical Staff (Key Scale Examples)
| Scale Stage | Basic Pay (₹) | Revised D.A. (₹) | Increase / Month (₹) |
| Stage 1 | 24,050 | 8,703.35 | +666.12 |
| Stage 10 | 39,020 | 13,973.53 | +1,069.48 |
| Stage 20 | 64,480 | 22,936.71 | +1,755.49 |
| Stage 31 | 93,960 | 33,315.13 | +2,549.81 |
3. Special Pay & Professional Qualification Pay (PQP)
Employees drawing Special Pay and Professional Qualification Pay will also see a proportionate raise in their allowances:
- Customer Service Associate: Special Pay ₹1,970 $\rightarrow$ D.A. ₹548.25 (+$41.96$)
- Sr. Customer Service Assoc. (Cash): Special Pay ₹3,050 $\rightarrow$ D.A. ₹848.82 (+$64.97$)
- Driver: Special Pay ₹4,825 $\rightarrow$ D.A. ₹1,342.80 (+$102.77$)
- PQP (After 5 years): PQP ₹4,100 $\rightarrow$ D.A. ₹1,141.03 (+$87.33$)
4. D.A. Rates for Pensioners (47 Slabs Increase)
Pensioners across different retirement periods will also see an upward adjustment based on a 47-slab increase:
- Retired on or after 01-11-2022: 27.83% for the entire basic pension amount (27.83 points over 123.03 points).
- Retired on or after 01-11-2017: 62.37% (891 Slabs over 6352 points).
- Retired on or after 01-11-2012: 136.90% (1369 Slabs over 4440 points).
- Retired on or after 01-11-2007: 265.50% (1770 Slabs over 2836 points).
- Retired on or after 01-11-2002: 343.26% (1907 Slabs over 2288 points).
5. Call for Action & Mass Protests
Alongside the financial updates, General Secretary C.H. Venkatachalam issued a strong call for unity against government policies:
“DEFEND NATIONALISATION — DEFEAT PRIVATISATION”
Following the National Convention of Workers and Farmers held at Talkatora Stadium, New Delhi on July 29, 2026, the AIBEA has urged bank employees to join mass protest programmes scheduled for August 10, 2026.
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