Prime Minister Narendra Modi led Union Cabinet approved the 8th central pay commission for central government employees and pensioners ahead of Budget 2025 on Thursday, January 16. Central government employees now expect a salary hike after the implementation of the new Pay Commission.
This highly anticipated development is news of relief for over 1 crore central government employees and pensioners who will benefit from the latest development. Notably, the 7th Pay Commission was set up by former Prime Minister Manmohan Singh on February 28, 2014, and submitted its report on November 19, 2015. Moreover, the recommendations were implemented effective January 1, 2016, which enhanced the salary structure of central government employees.
8th Pay Commission: When Will Central Govt Employees Receive Salary Hike?
“Ahead of that, the government has approved the constitution of the 8th Pay Commission so that recommendations are made in a timely manner and can be implemented from 2026 onwards,” said Union Minister Ashwini Vaishnav while announcing the most awaited development.
The government may implement the recommendations of the 8th Pay Commission from 2026 onwards.
How Much Salary Hike?
Shiv Gopal Mishra, secretary of the National Council of Joint Consultative Machinery (NC-JCM), has recently said that the next Pay Commission may consider a fitment factor of “at least 2.86”. This may lead to a significant 186% salary hike for the central government employees.
If the government OKs this case, the minimum basic salary of central government employees could jump from Rs 18,000 to a Rs 51,480. Additionally, pensioners’ pension could potentially rise from Rs 9,000 to Rs 25,740 at this fitment factor.
7th Pay Commission
The recommendations of the 7th Pay Commission were implemented from January 1, 2016. The 7th Pay Commission’s key recommendations included a significant hike in the minimum basic pay, from Rs 7,000 to Rs 18,000. Furthermore, the minimum pension was kept Rs 9,000 and fitment factor was 2.57 under the 7th Pay Commission.
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