Punjab DA arrears: Thousands of government employees converge in Chandigarh for mega rally

The government employees’ mobilisation has emerged as a significant pressure point for the AAP Government led by Bhagwant Mann ahead of the 2027 Punjab Assembly elections.

Political dimension

The protest has also taken on a political dimension. Employee leaders said several BJP leaders approached them on Thursday, offering to attend the rally and assuring employees that, if the party comes to power in Punjab, it would release the pending dearness allowance (DA) instalments with interest and restore the Old Pension Scheme (OPS).

Haryana Chief Minister Nayab Singh Saini has also repeatedly said during his visits to Punjab that, if voted to power, the BJP would replicate the “Haryana model” in the state, including clearing pending DA instalments and restoring the OPS.

The unions, however, said they wanted to keep Friday’s gathering as an employee-led protest and demonstrate their organisational strength rather than allow it to become a platform for any political party.

The mobilisation comes amid allegations by employee unions that the Punjab government had sought information about those planning to attend the rally. A letter issued by the Personnel Department of the state government to all the district heads on August 5 sought details of employees proceeding to the August 7 rally, including the names of “active union leaders”.

Union leaders alleged that the move was intended to discourage employees from participating. “However, all our district heads informed the respective Deputy Commissioners and senior officers that if even one employee or pensioner affiliated with our union was detained, we would not allow any AAP MLA to leave their residence or Chandigarh after the Vidhan Sabha session,” said Gursewak Singh, president of the Punjab Ministerial Employees Union.

Buses leave for Chandigarh from 2 am

According to him, nearly five buses from Fazilka left as early as 2 am to reach Chandigarh, while employees from Pathankot also began their journey around the same time. Nine buses and several private vehicles reportedly left Mansa, while at least three to five buses were expected to travel from each of Punjab’s 23 districts apart from several private vehicles.

“Over 3 lakh government employees working across various departments in the state, along with another 4 lakh pensioners and their families, are supporting this cause. Former finance minister Manpreet Singh Badal had also taken us lightly by calling us 2 per cent of the vote bank. The AAP government, whose only job is to defame government employees, is also under a similar impression. The reality will become clear in the coming elections,” Gursewak Singh said.

The previous Congress government, during which Badal served as finance minister, had issued a notification in 2020 shifting Punjab government employees from the state pay scale to the Centre’s pay scale. Employees have been opposing the move, claiming that the revised structure has resulted in lower pay.

The agitation has already impacted government functioning across Punjab. Except for Class-I officers, employees from various cadres in Deputy Commissioner offices across the state, along with staff from allied departments such as transport and revenue, are participating in the strike. Several mini-secretariats reportedly wore a deserted look.

A large number of government school teachers, employees of Punjab University and Punjabi University, and government college teachers have also joined the protest.

“Today’s rally will tell the Punjab government about the strength of the government employees. We are the ones who had showered flower petals on Bhagwant Mann when he had entered the Civil Secretariat after becoming the chief minister in March 2022. Now we have pledged not to vote for this government in 2027,” said Sukhchain Khehra, president of the Punjab Civil Secretariat Employees Union.

Why 18% DA?

Employee leaders said the AAP government came to power in March 2022 and has released only one DA instalment of 4 per cent for July-December 2022 since then.

“This 4 per cent instalment for July 2022 was released in December 2023, following a statewide strike of over a month by the Punjab Ministerial Employees Union. Since January 2023, no further DA instalment has been released, and the pending dues have accumulated to 18 per cent as of January 1, 2026,” Gursewak Singh said.

DA is generally revised twice a year, based on inflation and the applicable government pay structure. As of January 1, 2026, Central Government employees were receiving DA at 60 per cent of basic pay, while Punjab Government employees covered by the state’s existing DA structure were at 42 per cent, according to the employee unions.

Earlier this year, a single judge of the Punjab and Haryana High Court had struck down the state’s decision to release DA arrears in 42 instalments and held that the government was required to pay DA and DR in accordance with the pattern followed by the central government. The state had challenged that order before a division bench.

DA dispute reaches Punjab Assembly

The dispute over the pending DA has also figured in the Punjab Assembly, where Opposition legislators raised the issue of arrears during the recent session.

For the employees, however, Friday’s rally is about more than the arrears.

“We want to show the government that employees cannot be taken for granted. This is not merely about 18 per cent DA but about the treatment meted out to government employees and pensioners,” a union leader said.