Andhra CM Chandrababu Naidu Announces ₹160 Crore Diwali Bonanza for Govt Employees Including DA

Chief Minister N Chandrababu Naidu of Andhra Pradesh has unveiled a festive Diwali package for government employees, including monthly Dearness Allowance disbursements starting November 1, 2025. This announcement comes in the backdrop of financial constraints but aims to boost employee morale across departments.
₹160 Crore Monthly Spend on Dearness Allowance from November
The Andhra Pradesh government will release one Dearness Allowance (DA) instalment from November 1, 2025, incurring a financial impact of ₹160 crore per month. This step, part of the Diwali bonanza, benefits thousands of state government employees and reaffirms Naidu's commitment to timely remuneration even amid economic challenges.
Settling Dues and Employee Benefits
The government also committed ₹210 crore towards the police department’s earned leave encashments, split into two instalments of ₹105 crore each. Additionally, promotion clearances for Road Transport Corporation (RTC) workers and property tax waivers for government employees' association buildings are part of the benefits.
Health Insurance Scheme and Child Care Leave Reforms
The health insurance system for employees will be fully streamlined within 60 days. Furthermore, working parents in the public sector can now access 180 days of child care leave before retirement, enhancing work-life balance and flexibility for state workers.
Read More:Andhra Pradesh, Google Ink ₹80,000 Crore Deal For 1 GW AI Hub In Vizag; To Create 1.8 Lakh Jobs!
Focus on Pending Dues and Financial Transparency
Naidu highlighted the clearance of ₹15,921 crore in outstanding dues to employees and said an additional ₹23,556 crore from the previous regime has been formally recorded. He contrasted Andhra’s 91% expenditure on establishments with Telangana’s 38%, Tamil Nadu’s 42%, and Karnataka’s 39%, underlining the state's prioritisation of its workforce.
Further Plans and PRC Decision Reserved
The CM urged employee unions to be patient regarding the Pay Revision Commission's (PRC) resolution, promising an announcement shortly. A Cabinet sub-committee has been entrusted with settling various employee-related matters, reinforcing the government's proactive role in addressing workforce issues.
Conclusion
Through the ₹160 crore Diwali package encompassing DA releases, property tax waivers, and improved healthcare, CM Naidu demonstrates a clear focus on employee welfare. The moves, despite fiscal limitations, strengthen the state’s administrative backbone while promising ongoing reforms tailored to public servants.
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Published on: Oct 20, 2025, 11:22 AM IST

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