8th Pay Commission: The government had given the green signal in January this year to the long-standing demand of central employees and pensioners for the 8th Pay Commission.
Prime Minister Narendra Modi had announced that the 8th Pay Commission would be formed and this would improve the quality of life of employees and also increase consumption.
The government had given the green signal in January this year to the long-standing demand of central employees and pensioners for the 8th Pay Commission. Prime Minister Narendra Modi had announced that the 8th Pay Commission would be formed and this would improve the quality of life of employees and also increase consumption. But the reality is that more than 7 months have passed since the announcement, yet the government has not yet issued the notification of the commission. That is, the names of the chairman and members of the commission have not been decided.
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Why the delay?
The government has said that suggestions are still coming regarding the Terms of Reference (ToR) of the Commission i.e. its functioning and scope. The Finance Ministry had sought inputs from various ministries, states and departments in January and February 2025. Suggestions are still being received, hence the notification is being postponed.
When will I get the benefit?
If everything happens on time, the recommendations of the 8th CPC can be implemented from January 1, 2026. But experts believe that the entire process may take at least 1.5 to 2 years. This has happened before as well, when the 7th Pay Commission was announced in September 2013 and its work started in February 2014. Whereas this time 237 days have passed since the announcement in January 2025, which is even more delayed than last time. This means that employees and pensioners can actually get its benefits by the end of 2026 or in 2027.
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There is a big calculation related to Dearness Allowance (DA)
AICPI-IW (All India Consumer Price Index for Industrial Workers) plays a very important role in calculating salary and pension in 8th CPC. The data for July 2025 has come, in which the index has increased by 1.5 points to 146.5. This will have a direct impact on DA (Dearness Allowance) and DR (Dearness Relief). These DA rates will later be used to decide the fitment factor and minimum wage of the new pay commission.
What will employees and pensioners get?
Experts believe that the fitment factor can be between 1.8 to 2.46. This can increase the in-hand salary of employees by up to 13%. Pensioners will also get the same benefits as employees. Their basic pension will increase according to the new factor. DA will be reset and will start again from zero. Many employee unions and pensioners associations are demanding from the government that the process of the commission should be expedited.
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