
8th Pay Commission salary hike: Lakhs of central government employees are waiting for a salary hike after the 8th Pay Commission comes into effect from 1 January.
The 8th Pay Commission was announced by the Narendra Modi-led government in January this year, and the members of the CPC were announced months later. The biggest discussions about the 8th Pay Commission are related to salary hikes and the fitment factor, basis of which the payment will be decided for central government employees and pensioners.
The validity of the current CPC, the 7th Pay Commission, will expire on 31 December, which is tomorrow.
From 1 January, 2026, the yet-to-be-announced provisions of the 8th Pay Commission will take effect.
“Usually, the recommendations of the pay commissions are implemented after a gap of every ten years. Going by this trend, the effect of the 8th Central Pay Commission recommendations would normally be expected from 01.01.2026,” the Cabinet had said in its October notification while announcing the Terms of Reference.
Even though the in-hand salary of employees will receive only after the 8th Pay Commission announcement is made officially, the arrears will begin to accumulate from January. They will be released after the provisions of the 8th Pay Commission is announced.
However, there is no clarity on when the 8th Pay Commission salary hike will be announced.
“The government may announce this revision sooner than usual to address concerns about the complex arrear’s calculation process,” says Prof. Rajnish Kler, economist and professor at Motilal Nehru College, Delhi University.
The 8th Pay Commission salary hike will be decided on the basis of the fitment factor that will be suggested by the members of the CPC.
The fitment factor is the multiplier the new CPC uses to calculate the new basic pay. The 8th Pay Commission will take into account several factors, including inflation, to determine the fitment factor.
Under the 7th Pay Commission, the fitment factor is 2.57.
After the new pay commission is enacted, the basic salary of all employees and pensioners are expected to increase substantially.
The 8th Pay Commission salary hike is expected to differ from employee to employee depending on their level. There are 18 levels of government employees —
If the fitment factor is kept at 2.15, which experts say is the realistic one as of now, the basic salary will increase accordingly.
Level 1 - Current Salary: ₹18,000; Increased Salary: ₹38,700 (Difference: ₹20,700)
Level 5 - Current Salary: ₹29,200; Increased Salary: ₹62,780 (Difference: ₹33,580)
Level 10 - Current Salary: ₹56,100; Increased Salary: ₹1,20,615 (Difference: ₹64,515)
Level 15 - Current Salary: ₹1,82,200; Increased Salary: ₹3,91,730 (Difference: ₹2,09,530)
Level 18 - Current Salary: ₹2,50,000; Increased Salary: ₹5,37,500 (Difference: ₹2,09,530)
In absolute terms, Level 18 government employees, which includes top officials like Cabinet Secretary, will see the most 8th Pay Commission salary hike.
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