8th Pay Commission – Central employees and pensioners are eagerly awaiting the implementation of the 8th Pay Commission. Forget about implementation; the 8th Pay Commission hasn’t even been formed yet. The new Pay Commission brings significant reforms to employees and their salaries and allowances. Many new rules are being enacted.
There was a possibility of the new Pay Commission being formed around Diwali, but that has now been completely ruled out. The 8th Pay Commission could be formed in November itself. The government could form a committee any day. Its review will take 18 to 20 months. Clearly, central employees could see a significant salary increase as soon as the new Pay Commission is implemented. Find out how much their salaries could increase from a report.
When will the new Pay Commission be implemented?
The central government has been implementing a new Pay Commission every ten years. If this tradition is considered paramount, the 8th Pay Commission should be implemented on January 1, 2026. However, the chances of this happening seem slim. If the committee for this Pay Commission was formed in November, it is likely to be implemented only by January 1, 2027.
Previously, the 7th Pay Commission was implemented on January 1, 2016. The formation was in 2014. The 7th Pay Commission provided a 23% DA increase. The 6th Pay Commission was implemented in 2006, and at that time, salaries saw a massive 40% increase. According to recent reports, the likelihood of its implementation is very low.
How much will salaries increase?
Salaries are likely to increase once the 8th Pay Commission is implemented. The most important aspect is that salaries will increase based on the fitment factor. If the fitment factor is increased to 1.8x, this will be the basis for salary increases. The fitment factor is multiple. In the 7th Pay Commission, the fitment factor was set at 2.57x, which resulted in a significant increase in basic salaries.
If the fitment factor of 1.8 is implemented in the 8th Pay Commission, the minimum salary will increase to Rs 30,000 per month. Currently, the minimum salary for employees is Rs 18,000. This translates to an increase of Rs 12,000.
