8th Pay Commission: The Eighth Pay Commission for central government employees is likely to come in January 2026.
At the beginning of the year, on March 7, the Union Cabinet had approved increasing the Dearness Allowance (DA) by 4 percent to 50 percent of the basic salary. 1 crore central employees and pensioners of the country have got the direct benefit of the 4 percent DA hike of the government. These new rates have come into effect from January 1, 2024. Apart from dearness allowance, House Rent Allowance (HRA) was also increased for the employees.
Central employees are demanding 8th pay commission
DA has reached 50 percent of the basic salary. Many unions of central government employees are demanding the government to introduce the 8th Pay Commission after DA reached 50 percent. Many central government bodies including railway unions have started demanding the formation of the 8th Pay Commission. According to reports, the 8th Pay Commission is likely to be implemented from January 2026.
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Employee unions wrote a letter to the government
In a letter to the Ministry of Personnel, Public Grievances and Pensions (Do&PT), the Indian Railway Technical Supervisors Association has urged the government to constitute the 8th Pay Commission and remove all existing anomalies to minimise future anomalies. The Department of Personnel and Training (Do&PT) has forwarded the letter to the Expenditure Department of the Finance Ministry for further action. The Expenditure Department is responsible for implementing the recommendations of the Pay Commission.
7th Pay Commission came in the year 2014
The current 7th Pay Commission was constituted in 2014 and its recommendations were implemented in 2016. Since then, the Central Government has increased the salary of its employees by about 23 percent. Usually a Central Pay Commission is constituted every 10 years. However, this is not legally mandatory. The Pay Commission examines, reviews, develops and recommends changes in the salaries, allowances and other facilities and benefits of Central Government employees and pensioners. The first Pay Commission was implemented in 1946.
There is a formula to calculate DA
DA is given to government employees, while DR is given to pensioners. DA and DR are increased twice a year. DA and DR hikes are decided based on the percentage increase in the 12-month average of the All India CPI-IW. Although the central government revises allowances on January 1 and July 1 every year, the decision is usually announced in March and September or October. In 2006, the central government revised the formula for calculating DA and DR for central government employees and pensioners.
