8th Pay Commission: About 50 lakh central government employees and more than 65 lakh pensioners are eagerly waiting for the 8th Pay Commission. Under the Eighth Pay Commission, salary and pension are certain to increase, but now the question comes that when will it be implemented and for how long will the salary and pension increase?
When will the 8th Pay Commission be implemented?
As soon as the commission is implemented, the salary of employees and pensioners will increase on the basis of fitment factor. The Eighth Pay Commission was to be implemented from January 1, 2026, but now that January is about to end, there is no clue about it. Neither the salary has increased nor the pension amount has increased. A report by rating agency ICRA suggests that the delay in the implementation of the Eighth Pay Commission will impact the budget of 2026-27 as well as the financial position of the government in the coming years.
Pressure will increase on government treasury
ICRA has said that the impact of the Pay Commission will not be visible immediately, but will be visible in FY28. When the government implements it from January 1, 2026, it will have to be paid along with arrears of 15 months or more. Obviously this will increase pressure on government expenditure. According to an estimate, expenditure on salaries alone may jump by 40-50 percent in FY28. Earlier, there was a delay of only six months in the implementation of the 7th Pay Commission, so there was a 20 percent increase in the expenditure on salaries.
Why is there a delay?
The government constituted the Eighth Pay Commission in January 2025. It was given 18 months time to prepare its report. That means the report is expected to come by mid-2027. After this, the recommendations of the commission need to be studied, submitted, reviewed and approved by the government. Only after this it will be implemented. For this reason, the Eighth Pay Commission is expected to be implemented by the end of 2027 or beginning of 2028, but whenever it is implemented, the money will be given with arrears.
How much will the salary increase?
Work on the Eighth Pay Commission is going on and the fitment factor for it has not been announced yet. It is believed that the fitment factor in the Eighth Pay Commission can be between 2.13-2.86. Whereas the fitment factor in the 7th Pay Commission was 2.57. In such a situation, due to increase in fitment factor, the minimum basic pay may increase from Rs 18000 to Rs 41000-51480.
Fitment factor is a multiplier which is used to multiply the existing basic salary and arrive at the increased basic salary. For example, if your basic salary is Rs 18000 and fitment factor is 2.78, then your new basic salary (18000*2.78) will be Rs 50,040.
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