The 8th Pay Commission is set to bring about major changes to the salary framework for government workers and pensioners. The government is currently gathering feedback on the Terms of Reference (ToR) from key players, such as the Finance Minister, the Ministry of Defence, the Ministry of Home Affairs, the Department of Personnel & Training, and various state governments.
It’s anticipated that the commission’s suggestions will positively impact around 36.57 lakh central government civilian employees and pensioners/family pensioners by March 1, 2025, and about 33.91 lakh by December 31, 2024. Defence personnel and their pensioners will also see benefits. However, we won’t know the full effect of the 8th CPC until the recommendations are finalized and approved by the government.
In January, the Prime Minister greenlit the creation of the 8th Central Pay Commission, which will look into the salary structures, allowances, and pensions for central government employees and pensioners.
This commission will take into account the current economic landscape, including factors like inflation and economic growth. Pay Commissions are usually set up every decade, with the 8th Pay Commission’s recommendations expected to roll out by 2026.
The commission’s recommendations will cover various aspects, including salary adjustments, pension updates, allowances, and other benefits
The 8th Pay Commission’s recommendations aim to help several groups:
– 6.5 million pensioners: Government retirees will see advantages from the updated pay structure.
– 400,000 employees in Delhi: Government workers in the capital will enjoy higher salaries.
– 5 million central government employees: This group encompasses staff from various ministries, departments, and central public sector undertakings (PSUs).
– Defence personnel: Members of the armed forces, including the army, navy, and air force, will also benefit from salary hikes and additional perks.
Back in 2016, the 7th Pay Commission boosted salaries and pension payments by ₹1 lakh crore in its first year..
