The establishment of the 8th Pay Commission has aggravated Central Government employees. In general, Pay Commissions are set up every 10 years to review and make recommendations concerning the pay structure of government employees and pensioners. Now, the 7th Pay Commission commenced in 2016, and every day speculation about the 8th Pay Commission getting constituted in 2026 is getting stronger.
Tentative Date For Constitution Of The 8th Pay Commission
With no formal announcement regarding the constitution of the 8th Pay Commission, its most probable scenario seems to be getting formed in 2025 for its recommendations to be implemented in 2026. A commission usually takes about 18 months for reporting salary structure review concerning inflationary impact and other financial viability.
Quantifying Salary Increase: Only 19%?
Various reports and predictions contend that the 8th Pay Commission would recommend only a 19% rise in salary for the Central Government Employees. This is a figure derived considering different economic parameters and projected inflation rates. However, the real percentage would depend on the commission’s consideration of various factors, including:
- Economic Growth: Experts feel that stronger growth calls for enhanced consideration for higher salary increases.
- Inflation: In all measures, the commission will consider the index of inflation to strengthen the purchasing power of employees.
- State of Government Finances: The ultimate outcome of pay revisions will be decided in consideration of the overall state of the budget and fiscal capacities.
Fitment Factors And The DA Effect
The parameter to fix salary raises is mostly concerned with fitment factor. In the 7th Pay Commission, the fitment factor stood at 2.57x. The present estimation of fitment factor according to 8th Pay Commission is likely to go up to 3.00x or even above from that. The intensity of inflationary considerations in the perspective of increase in salary admissible will remain defined partly by variations in the Dearness Allowance.
Conclusion
Hence, the actual percentage of salary hike would come out only after the setting up of the 8th Pay Commission and the recommendations put forth by it. However, there is fair chances for it landing at 19 percent. Central employees are therefore advised to keep their ears open in view of any government announcements for possibly accurate information in this respect. Upon the same note, the benefits of DA increases due to the prior ones as well as immediate remedies would go on pumping up the income levels of employees.
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