India, May 14 -- Tamil Nadu Chief Minister Vijay announces a 2% hike in state govt employees, teachers, pensioners and family pensioners' Dearness Allowance to 60% from 58% from Jan 1, 2026. The CM said the decision was done to help lakhs of employees affected by rising inflation and increased living expenses, which left them with a devalued real income.

The rise in the DA is in line with the recently announced 2% hike by the Centre for its employees. State govt said it did not want to be left behind with regards to salary revision of public sector employees while also minimizing any discontent among its employees that might arise due to inflation linked allowances being revised across the country.

Can Tamil Nadu shoulder another Rs 1,2...