8th Pay Commission: There is considerable discussion about the Eighth Pay Commission at this time. According to media reports, the implementation of the 8th Pay Commission is expected to bring significant changes to the salaries, allowances, and pensions of central employees and pensioners. The discussion among the people centres on when the 8th Pay Commission will be implemented and how much the pension will increase. It has been almost a decade since the 7th Pay Commission was implemented.
If the 8th Pay Commission is implemented on time and its recommendations are approved by the government, a direct increase of 30 to 34 per cent can be expected in pensions. However, no information has been officially released by the central government regarding the 8th Pay Commission. So, let us know how pensions are decided.
How is pension decided?
The pension of government pensioners is usually determined according to their basic salary at the time of retirement or the fitment factor applied to it. In the 7th Pay Commission, this fitment factor was 2.57. If it is increased to 2.80 or 3.0 in the 8th Pay Commission, a significant increase in pension can be expected.
When will the 8th Pay Commission be implemented?
It is worth noting that the 7th Pay Commission was constituted in February 2014, but its recommendations were implemented from January 1, 2016. In such a situation, it is estimated that, by repeating the same timeline, the recommendations of the 8th Pay Commission can be implemented from January 1, 2026. However, no official announcement has been made about it yet. If a person’s pension is Rs 10,000, then increasing it by 30% can directly result in Rs 13,000, and increasing it by 34% can increase it to Rs 13,400.
What benefits will pensioners get?
It is expected that pensioners will receive a significant benefit when the 8th Pay Commission is implemented. After the new basic pension is decided, dearness allowance will be added to it. Additionally, by merging the dearness allowance into the basic, a significant increase in pension can be observed. There is also a possibility that old pensioners may receive arrears.