8th Pay Commission
In a significant development for central government employees and pensioners, the Union Cabinet, led by Prime Minister Narendra Modi, has approved the establishment of the 8th Central Pay Commission (CPC) on January 16, 2025. This decision comes as the term of the 7th Pay Commission is set to conclude on December 31, 2025.
Key Features
- Implementation Date: The new pay structure recommended by the 8th CPC is slated to take effect from January 1, 2026.
- Expected Salary Revision: The minimum basic salary for central government employees is anticipated to increase from the current ₹18,000 to over ₹40,000 per month.
- Beneficiaries: Approximately 50 lakh serving central government employees and around 65 lakh pensioners are set to benefit from the revised pay structure.
Union Minister Ashwini Vaishnaw emphasized the government's proactive approach, stating that initiating the process a year ahead allows ample time to receive and review recommendations before the 7th Pay Commission's term concludes.
The 7th Pay Commission, established in 2016, had recommended a 14% salary hike for government officials. The forthcoming 8th CPC is expected to propose a fitment factor ranging between 2.6 and 2.85, potentially leading to a 25-30% salary increase.
This move underscores the government's commitment to addressing economic challenges such as inflation and the rising cost of living, aiming to enhance the quality of life for its employees and stimulate economic growth through increased consumption.
The establishment of the 8th Pay Commission marks a pivotal step in ensuring fair compensation for central government employees, reflecting the evolving economic landscape and the government's dedication to its workforce.
