8th Pay Commission: New update on 8th Pay Commission, important news for central employees and pensioners

8th Pay Commission: With the implementation of 8th Pay Commission, more than 50 lakh central government employees and about 65 lakh pensioners will directly benefit.

8th Pay Commission: The 8th Pay Commission is to be implemented from January 1, 2026. On January 16, 2025, the Union Cabinet approved the formation of the 8th Pay Commission. However, the government has not yet published the terms of reference for the commission. Now a new information related to the 8th Pay Commission is coming out. It is reported that the terms of reference for the 8th Pay Commission may soon be approved by the Central Government. Let us tell you that with the implementation of the new pay commission, more than 50 lakh central government employees and about 65 lakh pensioners will directly benefit.

What is the detail

While talking to NDTV Profit, Shiv Gopal Mishra, Secretary, Staff Side, National Council-Joint Consultative Machinery said, “We hope that the terms of reference will get the approval of the government soon. It should be approved as soon as possible.” At the same time, another NC-JCM member, on the condition of anonymity, also said that the terms of the 8th Pay Commission are expected to be approved soon. Let us tell you that NC-JCM is an official body, which includes bureaucrats and employee union leaders and its objective is to resolve all disputes between the central government and its employees through dialogue.

According to the report, the Center had sought views from the employee side of NC-JCM on the Terms of Reference or ToR for the 8th Pay Commission in January. After this, the employee forum had put forward its draft ToR. Let us tell you that the government has not yet published the terms of reference for the 8th Pay Commission. Although many proposals have been made for taxpayers in Budget 2025, the budget documents did not mention the costs to the central government in implementing the 8th Pay Commission.

DA is currently 55%

Currently DA is 55% of the basic salary. DA was increased by 2% under the Seventh Pay Commission in March. Let us tell you that the Pay Commission is generally constituted once in 10 years to recommend the fitment factor and other modalities for salary revision. An important aspect of the Pay Commission is the fitment factor, which acts as a standard multiplier for re-determining salaries and pensions at all levels. This system guarantees consistent pay increases, no matter the employee’s grade or pay band.

Salary will be decided on this formula!

With the introduction of the 7th Pay Commission, the minimum basic salary was hiked, rising from Rs 7,000 to Rs 18,000, thanks to a fitment factor of 2.57. Similarly, pensions were also significantly revised, rising from Rs 3,500 to Rs 9,000. In addition, the commission introduced a new health insurance scheme for central government employees. While the official fitment factor for the 8th Pay Commission is yet to be revealed, it is estimated to be around 2.5. This could lead to a substantial increase in salaries and pensions – potentially taking salaries from Rs 40,000 to Rs 15,000 to Rs 1,00,000, which will depend on the multiplier and grade pay applied.

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