In a significant development that brings immense relief to West Bengal state government employees, the Supreme Court today delivered a decisive verdict on the long-pending Dearness Allowance (DA) case. The division bench, comprising Justice Sanjay Karol and Justice Prashant Kumar Mishra, has directed the state government to clear 25% of the pending DA arrears by March 31. This ruling comes as a major blow to the state exchequer just ahead of the upcoming elections.

To ensure strict compliance, the apex court has ordered the formation of a high-level monitoring committee headed by retired Justice Indu Malhotra. This committee, which must be constituted by March 6, will determine the final outstanding amount and oversee the phased disbursement of the remaining arrears. Notably, the court extended this benefit to retired employees as well, ensuring that nearly 1.5 lakh pensioners receive their rightful dues alongside 10 lakh current staffers.

The court laid down a clear timeline: the first phase of discussions must conclude by March 6, with a compliance report to be submitted by May 15. While the Supreme Court clarified that DA is not a ‘Fundamental Right’ and is subject to revision based on AICPI and ROPA rules, it emphasized that the entitlement of employees is legal and cannot be delayed indefinitely. The verdict makes it clear that while the state has the power to determine the quantum of DA, it cannot evade the responsibility of paying the accumulated arrears within the judicial deadline.