Recently, in a pre-Budget meeting with Finance Minister Nirmala Sitharaman, several Trade Unions and the Bharatiya Mazdoor Sangh requested the central government to form the 8th Pay Commission without any further delay. Central government employees are wanting the implementation of the 8th Pay Commission to address the concerns surrounding salary hikes and other benefits.

Prior to this, government employees were hopeful that the announcement regarding the establishment of the new Pay Commission may be made during the Budget in February 2025. However, the Finance Ministry’s recently clarified in the Rajya Sabha that there are no plans to establish a new Central Pay Commission as of now. This left over 1 crore central government employees and pensioners in disappointment.

8th Pay Commission: 186% Salary Hike And Timeline

Shiv Gopal Mishra, secretary of the National Council of Joint Consultative Machinery (NC-JCM), has generated the speculations when he recently mentioned that the next Pay Commission shall propose a fitment factor of “at least 2.86”. This could potentially lead to a significant 186% salary hike.

If the central government approves this recommended fitment factor, the central government employees’ minimum basic pay may jump from Rs 18,000 to substantial Rs 51,480. Additionally, at this fitment factor, pensions of the pensioners could rise from Rs 9,000 to Rs 25,740.

As far as timeline is concerned, central government employees earlier expected that the government would announce the new Pay Commission in this year’s Budget. However, recent statement of the Finance Ministry left them in disguise. As of now, the government has not declared any official timeline for the formation of the 8th Central Pay Commission.

Other Details

Several media reports suggest that the central government is considering a big overhaul for its salary and pension revision process. According to reports, the government may forgo the traditional Pay Commission framework completely and introduce a new mechanism that takes into account employees’ performance and inflation rates for raising their salaries.

The government aims is to create a more dynamic and responsive system through these changes, said reports.

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