8th Pay Commission News

Fresh on the heels of approval of the Terms of Reference (ToR) of 8th Central Pay Commission by Union Cabinet, the Finance Ministry on 03 November 2025 notified Resolution on Constitution of the ToR. The 8th Central Pay Commission will be a temporary body. The Commission will comprise of one Chairperson --Justice Ranjana Prakash Desai; One Member (Part Time) Prof. Pulak Ghosh and one Member-Secretary --Pankaj Jain.  

The 8th Pay Commission’s success depends on fixing India’s flawed inflation measurement system. Since housing inflation data — based largely on government housing — distorts actual prices, MoSPI’s proposed reforms could ensure fairer pay and pension hikes. Accurate data is essential to protect employees’ incomes without overburdening government finances.  

8th Central Pay Commission LATEST UPDATE: The Central Pay Commissions's recommendations are implemented after a gap of every ten years. Going by this trend, the effect of the 8th Central Pay Commission recommendations would normally be expected from 01.01.2026. However, a major concern was raised by an employee federation over the government's failure to include the date of implementation of the 8th Pay Commission recommendation in the recently announced Terms of Reference (ToR). 

The 8th Pay Commission is expected to increase SBI Clerk salaries, with higher basic pay and improved allowances. This means better take-home pay and strong long-term growth for banking aspirants.

8th Central Pay Commission LATEST UPDATE: The Central Pay Commissions are periodically constituted to go into various issues of emoluments structure, retirement benefits and other service conditions of Central Government employees and to make recommendations on the changes required thereon. Usually, the recommendations of the pay commissions are implemented after a gap of every ten years. Going by this trend, the effect of the 8th Central Pay Commission recommendations would normally be expected from 01.01.2026.  

The Pay Panel will make its recommendations within 18 months of the date of its constitution. It may consider, if necessary, sending interim reports on any of the matters as and when the recommendations are finalized. 

The Government had announced formation of the 8th Central Pay Commission in January, 2025 to examine and recommend changes in the Salaries and other benefits of Central Government employees.

The Government had announced formation of the 8th Central Pay Commission in January, 2025 to examine and recommend changes in the Salaries and other benefits of Central Government employees.

8th Pay Commission Latest Update: As millions of central government employees are waiting for the pay panel to be set up, media reports have cited that it may become a reality next week, ahead of the crucial Bihar Assembly Elections.

8th Pay Commission latest update: Though two crucial factors concerning the 8th CPC --like ToR and Chairman selection -- have not been fixed yet, are there likelihood of the 8th CPC being implemented anytime soon? We explain why there are bleak possibilities for the same. Read on.

The central government employees and pensioners are becoming increasingly concerned about the delay in the formation of the 8th Pay Commission. While the much awaited DA, DR hike has been announced by the government, all eyes are now on the updates of 8th Pay Commission.

From 8th Pay Commission, to DA, DR Hike and employee bonuses --central government employees are desperately eying these announements from Modi government ahead of Diwali.

The Union Cabinet has approved a Rs 1,865.68-crore Productivity Linked Bonus (PLB) for Indian Railways staff for FY 2024-25, benefiting over 10.91 lakh non-gazetted employees, including loco pilots, station masters, supervisors, technicians, and clerical staff. Each eligible employee will receive a bonus equivalent to 78 days’ wages, capped at Rs 17,951, timed to reach accounts before Durga Puja and Dussehra, boosting festive spending. The bonus recognises Indian Railways’ record achievements in freight and passenger transport and serves as a motivational tool. Upcoming Dearness Allowance hikes and the 8th Pay Commission further enhance employee benefits, providing financial relief and stimulating the economy.  

The government is preparing to implement the 8th Central Pay Commission (CPC), expected from January 2026, which will impact over 1 crore central employees and pensioners. A key proposal is to raise the fitment factor to 2.86 from the current 2.57 used in the 7th CPC. If approved, the minimum salary could increase from Rs 18,000 to Rs 51,480 and the minimum pension from Rs 9,000 to Rs 25,740, alongside hikes in allowances like DA, HRA, and TA. Employee bodies have urged the government to set up the commission quickly to avoid delays, while terms and appointments are still pending.  

8th Pay Commission Latest Update: A high-level delegation of the Government Employees National Confederation (GENC), the apex body of industrial federations affiliated with Bharatiya Mazdoor Sangh (BMS), met Union Minister Jitendra Singh seeking resolution of pressing issues faced by Central Government employees. The delegation submitted a detailed memorandum covering major long-pending demands of the government employees, covering a wide range of topics including 8th Pay Commission.

8th Pay Commission Healthcare Update: Will the 8th Pay Commission, make recommendation regarding the existing CGHS and replace the same with a new healthcare scheme for central government employees? Check what was recommended by the previous Pay Commissions. 

8th Pay Commission Allowance Update: The Central Pay Commissions are normally established once every ten years to review and recommend changes to pay scales, allowances and benefits for central government employees. Prime Minister Narendra Modi-led Union Cabinet approved the constitution of the 8th Pay Commission in January this year. Accordingly, the 8th Pay Commission will come into effect from January 1, 2026. However, experts believe that the 8th CPC may be established later in 2026 or in the first half of 2027, given the delay in finalising the ToR and appointing the chairman and commission members.

The 8th Pay Commission applies to all Central Government employees, meaning once it’s implemented, salaries across various central departments will see a hike. Retired employees will also benefit from an increase in pensions.

8th Pay Commission: Once the Pay Panel makes its recommendations, it will be submitted to the government in around 18 months time, and could take another three to nine months before government issues final approval on the same.

8th Pay Commission Commuted Pension Issue: The revised Income Tax Bill 2025, passed in the Lok Sabha on August 11, has brought great tax relief to government pensioners and private investors, giving fresh hope to central government employees on restoration of Commuted Pension in 12 years instead of 15 years.