SF Prep Notes

Tamil Nadu announces 2% DA hike and restoration of earned leave surrender for government employees

Tamil Nadu Chief Minister M.K. Stalin announced nine welfare measures for government employees in the Assembly on 28 April 2025, including a 2% DA hike from 1 January 2025 and restoration of earned leave surrender from 1 October 2025.

Summary

Tamil Nadu Chief Minister M.K. Stalin announced nine measures for government employees and teachers in the State Assembly on 28 April 2025. Dearness allowance was raised by 2% with effect from 1 January 2025, on par with the Union government's hike, benefiting over 16 lakh employees, teachers and pensioners at an annual cost of ₹1,252 crore. The earned leave surrender system, suspended during COVID-19, will be restored from 1 October 2025 instead of 1 April 2026 as announced in the Budget, allowing encashment of up to 15 days and benefiting about eight lakh employees and teachers at ₹3,561 crore a year. The festival advance was doubled from ₹10,000 to ₹20,000, the marriage advance raised to ₹5 lakh irrespective of gender, and maternity leave will be counted towards the probation period. The committee studying the Old, Contributory and Unified Pension Schemes was asked to report by 30 September 2025.

Key facts

Date
28 April 2025, Tamil Nadu Assembly
DA
+2% from 1 Jan 2025; 16 lakh+ beneficiaries; ₹1,252 cr a year
Earned leave surrender
Restored from 1 Oct 2025 (up to 15 days); ₹3,561 cr a year
Festival advance
₹10,000 to ₹20,000
Marriage advance
₹5 lakh irrespective of gender
Maternity leave
To count towards probation period
Pension committee
Report by 30 Sept 2025

Practice MCQs 3 questions

Q1

By how much did Tamil Nadu raise the dearness allowance of its employees, with effect from 1 January 2025, as announced on 28 April 2025?

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Correct answer: A — 2%

Chief Minister M.K. Stalin announced a 2% DA hike from 1 January 2025, on par with the Union government's hike.

Q2 Advanced

Consider the following announcements made by the Tamil Nadu Chief Minister on 28 April 2025: 1. The earned leave surrender system will be restored from 1 October 2025. 2. The marriage advance for government employees will be ₹5 lakh irrespective of gender. Which of the statements given above is/are correct?

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Correct answer: C — Both 1 and 2

Both are correct. EL surrender returns from 1 October 2025 (earlier than the Budget's 1 April 2026), and the marriage advance is ₹5 lakh for all.

Q3 Advanced

Under Tamil Nadu's 28 April 2025 announcements, maternity leave of women government employees will henceforth be counted towards which period?

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Correct answer: D — Probation period

Maternity leave will be counted towards the probation period, protecting women employees' seniority and promotion.

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