Supreme Court Orders West Bengal to Settle Dearness Allowance Arrears

The Supreme Court has directed the West Bengal government to disburse outstanding dearness allowance (DA) to its employees for the period from 2008 to 2019. The court emphasized that DA is a legally enforceable right, and established a committee to oversee payment distributions, with the first instalment due by March 31, 2026.

The Supreme Court has mandated the West Bengal government to settle dearness allowance dues owed to its employees from 2008 to 2019. On Thursday, Justices Sanjay Karol and Prashant Kumar Mishra instructed the government to pay 25% of the arrears by March 6, affirming DA as a legally enforceable right.

A committee, led by former Justice Indu Malhotra and other senior officials, was formed to calculate the total dues, schedule payments, and ensure proper disbursement. The first instalment payment is set for March 31, 2026. Retired employees during this case will also receive due benefits.

The issue arose when employees sought parity with central government DA rates, which the high court supported. However, the state appealed to the Supreme Court, leading to delays and minor DA increases, with the state rate lagging significantly behind central government levels.

(With inputs from agencies.)