Lakhs of central government employees are eagerly waiting for only one question at this time – when will the 8th Pay Commission be implemented? And the biggest question is how much will the salary increase be? So listen, the Eighth Pay Commission can be implemented by 2026, and this time, employees from level-1 to level-6 are likely to hit the jackpot. Everything from the fitment factor to the allowances is going to change in the new pay commission. So, gear up, because your salary is going to jump tremendously.
The echo of the 8th Pay Commission will be heard in the 2026 budget
If sources and experts are to be believed, the Eighth Pay Commission (8CPC) can come into effect from January 1, 2026. In such a situation, the government can start working on the recommendations of the Ninth Pay Commission in 2025 itself, employees just have to wait a little. The current salary structure is going to end in December 2025, but the government is showing speed in appointing a new commission. According to information received from sources, 42 posts, including the chairman of the commission, will be recruited soon, and the formal work of the new pay commission is likely to start from next month. This news is no less than a festival for central employees.
How much will the salary increase in the 8th Pay Commission
‘Fitment factor’ is the most important part of the Pay Commission. The new basic salary of government employees is decided by this formula. There was a 14.27% increase in salary in the Seventh Pay Commission. However, this time an increase of 18% to 24% is expected in the Eighth Pay Commission, and the fitment factor will play the biggest role in this. If there is a tremendous increase in the fitment factor, then there will be a big jump in the salary of the employees too.
8th Pay Commission Fitment Factor Fund
Currently, the fitment factor in the 7th Pay Commission is 2.57, due to which the minimum salary level of ₹18,000 can be 1.90, 2.08, or 2.86 in the 8th Pay Commission. But the expected fitment factor of 1.90 in the 8th Pay Commission is the most discussed. If this happens, there will be a big increase in the salary of government employees.
With the fitment factor of 1.90 being fixed under the 8th Pay Commission (as discussed above), the minimum basic salary of government employees can increase from ₹18,000 to ₹34,200, which will also bring some change in other parameters. This can prove to be great, good news for the lower-level employees.
It is important to note that the increase in the fitment factor can lead to a big increase not only in the basic salary but also in dearness allowance (DA), transport allowance (TA), and house rent allowance and its rate will increase in six months. Currently, the minimum pension of government employees is ₹ 9,000, which can reach ₹ 15,000 to ₹ 20,000 after the Eighth Pay Commission.
And the amazing thing is that the maximum pension cannot exceed ₹ 1.25 lakh. In such a situation, due to an increase in basic salary and an increase in all allowances, pensioners will get a better pension, and there will also be an improvement in gratuity and PF contribution received after retirement, that is, benefits from every side! This is also a big relief news for retired employees.