Polity

Bihar Cabinet Approves 3% DA Hike for Employees, 31 Proposals Cleared

10 November 20262 min1 source4 questionsStory 1 of 75

For Prelims: Dearness Allowance (DA), Pay Commission, Contingency Fund, PM Awas Yojana-Gramin, DA hike (7th Pay Commission), Effective date, PM Awas Yojana-Gramin allocation, Bihar Ki Beti Startup Challenge budget

For Mains: State fiscal management, employee welfare, urban governance reform, women entrepreneurship, rural housing

Source:HindustanHindustan

Why in the news?

The Bihar cabinet, led by Chief Minister Samrat Choudhary, has approved a 3% hike in dearness allowance (DA) for state government employees and pensioners, effective from July 1, 2026. The cabinet also cleared 31 proposals, including a new building bylaw for easier construction approvals, ₹1,399.60 crore for PM Awas Yojana-Gramin, a startup scheme for female students, and a major bridge project connecting Bakhtiyarpur and Tajpur.

Summary

  • Bihar cabinet under CM Samrat Choudhary approved a 3% DA hike for employees on the 7th Pay Commission, raising it from 60% to 63%, effective 1 July 2026.
  • The cabinet cleared the Bihar Bhawan Upvidhi, 2026, replacing 2014 rules, allowing self-declaration permits for low-rise buildings and deemed approval within 30 days.
  • ₹1,399.60 crore from the Bihar Contingency Fund was approved for PM Awas Yojana-Gramin implementation, with ₹450.15 crore central share and ₹949.44 crore state share.
  • A new 'Bihar Ki Beti Startup Challenge' scheme was launched with ₹88.20 crore to foster innovation and entrepreneurship among up to 2,100 female students over four years (2026-27 to 2029-30).
  • Under PM-SETU (PM Kaushaling & Employability Transformation through Upgraded ITI), ₹1,174.81 crore was approved for CIIIT centres at five government ITIs in Rohtas, Munger, Patna, Purnia and Madhubani.

DA hike across Pay Commissions in Bihar

Pay CommissionOld DANew DA
5th483%497%
6th262%269%
7th60%63%

Bihar connection

Matters for these Bihar exams:BPSCBSSC

Background GK

Textbook concepts you need to understand this news

Dearness Allowance (DA)
A cost-of-living adjustment allowance paid to government employees and pensioners to offset the impact of inflation. It is calculated as a percentage of basic pay.
Pay Commission
A body constituted by the Government of India to recommend changes in salary structure of government employees. The 7th Central Pay Commission was implemented from 1 January 2016.
Contingency Fund
A fund set aside by the government to meet unforeseen expenditures. In Bihar, the Bihar Contingency Fund is used for urgent or unexpected expenses.
PM Awas Yojana-Gramin
A central government scheme under the Ministry of Rural Development to provide pucca houses with basic amenities to rural households. It replaced the Indira Awas Yojana.

Facts to remember

Tap a card to see the answer. Try to recall it first.

How exams will ask this

  • Data: 3% DA hike for 7th Pay Commission employees in Bihar, effective 1 July 2026.
  • Nodal Body: Bihar Cabinet (state-level decision-making body chaired by the Chief Minister).
  • Legal Point: Bihar Bhawan Upvidhi, 2026 (new building bylaw replacing 2014 rules).

Don't make this mistake!

Examiners may ask the DA percentage for the 5th Pay Commission (497%) or 6th Pay Commission (269%) instead of the 7th (63%). Also, the effective date is 1 July 2026, not the date of cabinet approval (10 November 2026).

Write these in mains answers

  • State fiscal management, employee welfare, urban governance reform, women entrepreneurship, rural housing

Stuck? Get it in one tap

Practice questions

Pick an answer, then read the explanation.

  1. Q1Easy

    Which ministry implements the Pradhan Mantri Awas Yojana-Gramin at the national level?

  2. Q2Hard

    Consider the following statements regarding the Bihar cabinet decisions of November 2026:

    1. 1.The dearness allowance for employees under the 7th Pay Commission was increased from 60% to 63%.
    2. 2.The Bihar Bhawan Upvidhi, 2026 introduces a deemed approval clause if no decision is taken within 30 days.
    3. 3.The Bakhtiyarpur-Tajpur bridge project has a total length of 45.40 km.

    Which of the statements given above is/are correct?

  3. Q3Medium

    What is the total approved budget for the 'Bihar Ki Beti Startup Challenge' scheme?

  4. Q4Medium

    What is the primary objective of the 'Bihar Ki Beti Startup Challenge' scheme approved by the Bihar cabinet?

Frequently asked questions

1. How much did Bihar increase DA for state employees?

Bihar increased DA by 3% for employees under the 7th Pay Commission, from 60% to 63%, effective 1 July 2026.

2. What is the Bihar Bhawan Upvidhi, 2026?

It is a new building bylaw approved by the Bihar cabinet that replaces 2014 rules, allowing self-declaration for low-rise buildings and automatic approval if no decision within 30 days.

3. What is the budget for the Bihar Ki Beti Startup Challenge?

The Bihar cabinet approved ₹88.20 crore for the scheme, which aims to support up to 2,100 female students over four years (2026-27 to 2029-30).

4. Which bridge project got revised cost approval in Bihar?

The Bakhtiyarpur-Tajpur 4-lane bridge over the Ganga, with a 5.52 km bridge and 45.40 km approach road, got a revised cost approval of ₹4,572.53 crore.

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