8th Pay Commission- Central government employees are eagerly waiting for the implementation of the 8th Pay Commission. It is expected that with the implementation of the 8th Pay Commission, a great growth can be seen in the salary of government employees, regarding which a report has now come out. When will the 8th Pay Commission be implemented and how much will the salary increase under it? All these questions have been answered. Kotak Institutional Equities has released this report.
Salary under 8th Pay Commission
Kotak Institutional Equities has said in its report that the 8th Pay Commission may be implemented in late 2026 or early 2027. The government is currently deciding the terms of reference for this and the commission is yet to be formed. The government has not yet disclosed its chairman. It is expected that it may be announced soon.
How much can the salary increase?
A big increase has been estimated in the salary of central employees under the 8th Pay Commission. According to the report, the basic salary of the employees can increase by 30 to 34 percent. Under the new Pay Commission, the minimum basic salary can increase from Rs 18000 to about Rs 30,000. Regarding the fitment factor, the report says that it is estimated to be around 1.8, which will actually give the employees a benefit of 13 percent.
How much will it affect expenditure?
According to a report by Kotak Equities, the impact of the 8th Pay Commission on GDP can be 0.6 to 0.8 percent. This can increase the extra burden of Rs 2.4 to 3.2 lakh crore on the government. With the increase in salary, demand can increase in sectors like automobile, consumer and other consumption, because the increase in salary will also increase the spending capacity of employees.
Impact on savings and investment too
According to Kotak, along with the increase in salary, savings and investment will also increase. Especially equity, deposits and other investments can get an extra increase of 1 to 1.5 lakh crore rupees. On the other hand, about 33 lakh central government employees and a large number of pensioners will benefit from the increase in salary. In this too, most of the grade C employees will benefit.