8th Pay Commission: The government is preparing to implement the 8th Central Pay Commission (8th CPC) from January 2026. This commission will affect more than 1 crore central employees and pensioners. The main proposal suggests making the fitment factor 2.86, which is 2.57 in the current 7th CPC.
Fitment factor and possible hike in salary
If the fitment factor of 2.86 is applied, the minimum wage can increase from Rs 18,000 to Rs 51,480 and the minimum pension can increase from Rs 9,000 to Rs 25,740. Apart from this, Dearness Allowance (DA), House Rent Allowance (HRA) and Travel Allowance (TA) will also increase.
For example, the possible salary scales are as follows:
Level 1: Rs 18,000 → Rs 51,480
Level 5: Rs 29,200 → Rs 83,512
Level 10: Rs 56,100 → Rs 1,60,446
Level 13A: Rs 1,31,100 → Rs 3,74,946
Level 18: Rs 2,50,000 → Rs 7,15,000
The pension formula in the 8th CPC will also be based on the fitment factor. This means that the minimum pension can increase by about 186% to Rs 25,740. This will provide financial relief to retired employees. Employee organizations have urged the government to form the commission soon so that there is no delay in implementing it from January 2026. The government said that consultations are going on with the states for the formation of the commission.
When the 7th CPC was implemented in 2016, the minimum wage increased from Rs 7,000 to Rs 18,000 and the minimum pension increased from Rs 3,500 to Rs 9,000. This makes it clear how big an impact the fitment factor has on the income and pension of employees.
When will the 8th Central Pay Commission be implemented?
The 8th Central Pay Commission is likely to be implemented from January 2026. Under this, there will be major changes in the salary and pension of central employees and pensioners. The proposed Fitment Factor is 2.86. Upon its implementation, the minimum wage can increase from Rs 18,000 to Rs 51,480 and the minimum pension can reach Rs 25,740 from Rs 9,000.
Which allowances are likely to change?
Dearness Allowance (DA), House Rent Allowance (HRA) and Travel Allowance (TA) are also expected to increase under the 8th CPC, which will increase the total salary and pension of the employees.