The formation process of the 8th Central Pay Commission (CPC) is gaining speed, and stakeholders are eagerly awaiting the announcement of the panel members and chairman. The announcement is expected next month.
In January, the Centre confirmed the formation of the long-awaited 8th Pay Commission, which is expected to submit its recommendations early next year. The next step will be the announcement of the chairman and two members of the commission, expected in the coming month.
Since the government’s announcement, there has been speculation regarding the fitment factor for revising salaries and pensions for employees and pensioners. However, it’s important to note that the Pay Commission’s scope extends beyond just salary increases. It also reviews allowances and other facilities provided to central government employees.
Reports suggest that the 8th Pay Commission may remove outdated or irrelevant allowances or potentially introduce new ones. Similar steps were taken by the 7th Pay Commission, which eliminated several allowances.
Changes Made by the 7th Pay Commission
The 7th Pay Commission reviewed 196 allowances, approving only 95 and rejecting 101. Some allowances were completely abolished, others were merged with different ones, and some were excluded entirely.
Regarding salary revisions, the 7th Pay Commission recommended a salary increase for central employees with a fitment factor of 2.57, setting the minimum salary at Rs 18,000 and the maximum at Rs 2,25,000.
Latest Update on the 8th Pay Commission
The terms of reference for the 8th Pay Commission, outlining its framework, are expected to be decided before April 2025. The names of the chairman and other members are also likely to be finalized by then.
Once formed, the 8th Pay Commission will likely take about a year to prepare its report. During this period, the commission will engage with stakeholders, especially central employees’ representatives, to understand their demands and finalize its recommendations.
The big question now is how much benefit the 8th Pay Commission will bring to government employees and whether new allowances will be introduced!