8th Pay Commission: 186% Salary Hike Expected For Central Government Employees

8th Pay Commission: The Union Cabinet, led by Prime Minister Narendra Modi, approved the establishment of the 8th Pay Commission on 16 January 2025.

The commission will review and revise the pay structure and allowances for approximately 50 lakh central government employees and 65 lakh pensioners.

According to various media reports, the fitment factor is expected to be set between 1.92 and 2.86, resulting in an increase in the minimum basic salary from ₹18,000 per month to ₹51,480.

Likewise, the minimum pension is projected to rise from ₹9,000 to ₹25,740 per month

However, some experts suggest the National Council-Joint Consultative Mechanism (JCM-NC) is advocating for a minimum fitment factor of 2.57, similar to the 7th Pay Commission.

If the fitment factor reaches 2.57, employees currently earning a basic salary of ₹18,000 per month could see their pay rise to ₹46,260. Similarly, the minimum pension could increase from ₹9,000 to ₹23,130 per month.

7th Pay Commission (2014-2016)

The 7th Pay Commission, implemented on January 1, 2016, introduced a fitment factor of 2.57, raising the minimum basic salary from ₹7,000 to ₹18,000. If the 8th Pay Commission opts for a fitment factor of 2.86, the basic salary could rise even further to ₹51,480.

However, former Finance Secretary Subhash Garg has cautioned that a higher fitment factor may put financial strain on the government. He suggested that a factor of 1.92 might be a more feasible option, balancing employee benefits with fiscal responsibility.