8th Pay Commission Salary Hike: The fitment factor is used to calculate the revised basic salary of central government employees and pensioners in the new pay commission.
8th Pay Commission Salary Hike: After the approval of the 8th Pay Commission, central employees and pensioners are waiting to know what will be the fitment factor in the recommendations of the 8th Pay Commission. Let us tell you that the central government is planning to set up the Eighth Central Pay Commission (8th Central Pay Commission Implementation) in December this year and there are also reports that the posts in the new commission are expected to be filled soon.
Fitment factor yet to be decided
The government has started the process of filling 42 vacancies including the post of Advisor and Chairman for the 8th Pay Commission. It is expected that after the Term of Reference (ToR) is finalized, work will start on other aspects including deciding the fitment factor (8th Pay Commission Fitment Factor). Fitment factor is a special factor for calculation of salary and pension (8th Pay commission Salary Pension Calculation).
What is the Fitment Factor?
Fitment factor is used to calculate the revised basic salary of Central Government Employees and pensioners in the new pay commission (8th Pay Commission Basic Salary Calculator). The fitment factor decides how much increase can be made from the old salary structure to the new salary structure (8th Pay Commission Salary Structure).
Understand the calculation in simple words (8th pay commission salary calculator):
New basic salary = old basic salary × fitment factor
Let us tell you that under the 7th Pay Commission, the fitment factor was fixed at 2.57. For example, suppose an employee’s basic salary was Rs 15,000 under the 6th Pay Commission, then his new basic salary under the 7th Pay Commission will be:
Rs 15,000 × 2.57 = Rs 38,550
How much will the employees benefit from the fitment factor of 2.86?
According to the news, the fitment factor in the 8th Pay Commission can be fixed between 1.92 to 2.86. Let us understand with an example how much the basic salary of central employees will increase due to this.
For example, if the current basic salary of an employee is Rs 25,000, then after using the fitment factor of 2.86 under the 8th Pay Commission, his new basic salary will be: Rs 25,000 × 2.86 = Rs 71,500.
