8th Central Pay Commission: How Much will Pensions Increase if the Fitment Factor is 2.86?

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Pensioners' Fitment Factor

Pensioners’ Fitment Factor: Like central government employees, pensioners are also awaiting the recommendations of the 8th Central Pay Commission. The amount of pension increase will largely depend on the fitment factor. However, the Commission has been given approximately 18 months to prepare its report, and final recommendations are expected by May 2027. Therefore, estimates of the potential benefits for different pensioner groups are currently being made based only on available data.

The Role of the Fitment Factor

The fitment factor is the coefficient by which the existing basic pension is multiplied to determine the revised pension. The 6th and 7th Pay Commissions applied a uniform fitment factor for all employees and pensioners. This time, potential factors such as 2.0, 2.57, and 2.86 are being discussed. The final decision will be made only after the Commission’s recommendations and government approval.

Increase for Basic Level Pensioners

If a pensioner’s current basic pension is ₹9,000, the revised pension will vary depending on the fitment factor. At a factor of 2.0, it could increase to ₹18,000. At a fitment factor of 2.57, it could reach approximately ₹23,130, and at a fitment factor of 2.86, it could reach approximately ₹25,740.

Benefits to Mid-Level Pensioners

If the current basic pension is ₹22,450, it could increase to ₹44,900. At a fitment factor of 2.57, it could reach approximately ₹57,697, and at a fitment factor of 2.86, it could reach approximately ₹64,207.

Potential Pension for Retired Officers

For senior officers with a current basic pension of ₹61,550, the pension could increase to ₹1,23,100 at a fitment factor of 2.0. At 2.57, this could reach approximately ₹1,58,183, and at 2.86, it could reach approximately ₹1,76,033.

Will there be different fitment factors for different levels?

Some employee organizations believe that, as before, a uniform fitment factor could be applied to all. However, experts say that if the government wishes, it could also set different fitment factors for different pay levels. This will depend entirely on the financial situation and policy decisions.

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