8th Pay Commission: The central government has initiated the process of establishing the 8th Pay Commission. Once implemented, the commission will benefit approximately 5 million employees and 6.5 million pensioners. Financial relief is possible during the festive season with a 3% increase in DA.
The central government has indicated it is beginning the process of forming the 8th Pay Commission. If approved, it will directly impact the financial situation of approximately 5 million government employees and 6.5 million pensioners. According to sources, the commission could be announced by 2026, although some reports suggest it may be postponed until 2027.
Recently, a meeting was held between the government and the employees’ representative organization, the Government Employees National Confederation (GENC), chaired by Union Minister Jitendra Singh. The minister stated that discussions are also ongoing with state governments, and an official announcement is expected soon.
This move could prove to be significant news for employees and pensioners, given the festive season. Sources indicate that a 3 percent increase in dearness allowance (DA) is expected alongside the 8th Pay Commission. This will directly benefit over 12 million employees and pensioners across the country. Following the GST relief, this move will provide further financial relief.
Possible major increase in minimum basic pay
The most significant aspect of the potential recommendations of the 8th Pay Commission is an increase in the minimum basic pay. Currently, it is ₹18,000, and the new structure could raise it to ₹26,000. This change will provide relief to employees amid inflation and rising living costs. Employees believe this increase is long overdue, as the previous Pay Commission’s recommendations were implemented several years ago. This significant increase in the minimum pay will strengthen the financial security of government employees.
Possibility of improvement in Dearness Allowance
Dearness Allowance (DA) is also expected to be revised with the 8th Pay Commission. Currently, employees and pensioners receive 55% DA. Recently, a 2% increase was made in line with inflation rates. Experts estimate that the next DA increase could be 3% for the period June-December 2025. This revised DA could be announced in October or November, providing financial relief to employees and pensioners during the festive season.
Relief package for employees and pensioners
If both the 8th Pay Commission and the DA reforms are implemented, they will provide significant financial relief to millions of families dependent on government salaries. These measures will act as a safety net for employees and pensioners amid rising inflation. Experts believe that this dual relief—a salary increase and a DA hike—will not only provide short-term financial relief but also contribute to the long-term economic stability of employees. However, the actual implementation date of this entire package will depend on when the commission is formed and the government’s financial situation.
