8th Pay Commission: Central government employees are awaiting the implementation of the Eighth Pay Commission’s recommendations. The implementation of the new Pay Commission is expected to bring about major changes in central government employees’ salaries and pensions. Furthermore, changes are also expected in the health facilities available to central government employees. The Central Government Health Scheme (CGHS), considered the backbone of healthcare for central government employees and pensioners, may be replaced by a new insurance-based scheme.

What is the hope?

The 5th, 6th, and 7th Pay Commissions recommended an insurance model, given the limitations of the CGHS. The 7th Commission clearly stated that health insurance is a better option in the long run. This is why changes are now expected from the 8th Pay Commission. A report in the Financial Express stated that the government is considering introducing the Central Government Employees and Pensioners Health Insurance Scheme (CGEPHIS) under the 8th Commission.

CGEPHIS will provide cashless treatment in private hospitals through IRDAI-registered insurance companies, making it more comprehensive than the CGHS. However, no official details have been released by the government yet. Experts believe that CGEPHIS will modernize and make healthcare accessible.

Retired Supreme Court judge Ranjana Prakash Desai has been appointed to head the Eighth Pay Commission. The commission will submit its final report in 18 months, while also submitting interim reports from time to time. Along with appointing Justice Desai as the head of the commission, it was also decided to appoint Professor Pulak Ghosh of the Indian Institute of Management (IIM), Bangalore, as a part-time member and Petroleum Secretary Pankaj Jain as member-secretary. Justice Desai is currently the chairman of the Press Council of India. She previously chaired the Jammu and Kashmir Delimitation Commission and the Uttarakhand Uniform Civil Code Drafting Committee. This will be her fourth major assignment after her retirement from the Supreme Court.

When will it be implemented?

Typically, Pay Commission recommendations are implemented for central government employees every 10 years. Following this practice, the Eighth Pay Commission’s recommendations are also expected to be implemented from January 2026. The previous, the Seventh Pay Commission, was constituted in February 2014, and its recommendations were implemented from January 1, 2016.