How much salary increase in 8th Pay Commission

8th Pay Commission News, 8th Pay Commission Salray Hike, How much salary increase in 8th Pay Commission: The central government has announced a significant update regarding the 8th Pay Commission (8th CPC), which will determine salary and pension revisions for government employees and retirees. The commission's formation has been approved, marking the beginning of the wait for its implementation. Here’s a detailed overview of what to expect.

8th Pay Commission to Be Constituted Soon

The 8th Pay Commission is likely to be constituted soon, with its formation expected in April 2025, according to a report by The Times of India. In an interview, Finance Ministry’s Expenditure Secretary, Manoj Goel, confirmed that the process of establishing the commission is currently underway.

At present, a draft proposal has been circulated to key ministries, including the Ministry of Defence, Ministry of Home Affairs, and the Department of Personnel and Training, for their feedback. After reviewing their inputs, the Terms of Reference (TOR) will be finalized, following which cabinet approval will be sought.

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Expected Salary and Pension Hike Under 8th CPC

The 8th Pay Commission is anticipated to introduce a substantial salary and pension hike for central government employees and pensioners. Although the official figures are yet to be confirmed, various reports indicate that the fitment factor will be a key determinant in shaping the salary revisions.

Impact on Salaries

• Under the 7th Pay Commission, the minimum salary saw a rise from ₹7,000 to ₹18,000.
• For the upcoming 8th Pay Commission, employees are advocating for a fitment factor of 2.86, which, if implemented, could push the minimum salary to ₹51,480.

Impact on Pensions

• The minimum pension under the 7th Pay Commission was ₹9,000.
• Under the 8th Pay Commission, it could rise to ₹25,740, ensuring better financial security for retirees.

When Will the Hike Be Implemented?

The commission is expected to be formed in April 2025, after which it will take some time to submit its recommendations. Once the report is presented, the government will review it before making a final decision on implementation.

As per current estimates, there will be no financial impact in the upcoming fiscal year (2025-26). However, expenses related to the salary and pension hike are anticipated to commence from April 2026.

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How Often Is the Pay Commission Formed?

The Central Pay Commission is typically established every 10 years to assess salary structures, economic conditions, and inflation trends. The 7th Pay Commission was implemented in 2016 and is set to remain in effect until 2026. As its tenure nears completion, the 8th Pay Commission has been approved to facilitate a seamless transition.

Key Takeaways

• The 8th Pay Commission is likely to be formed by April 2025.
• The fitment factor may rise from 2.57 to 2.86, resulting in a 25-30% salary increase.
• The minimum salary could increase to ₹51,480, while the minimum pension may go up to ₹25,740.
• The salary revision is expected to be implemented in the financial year 2026-27.

Final Thoughts

The approval of the 8th Pay Commission marks a significant step toward enhancing the financial security of government employees and pensioners. While the exact salary and pension revisions will be determined after a thorough government review, employees can anticipate a substantial pay increase once the recommendations are implemented.