8th Pay Commission Shock: Lower Salary Hike Approved For Central Staff

Developments regarding the much-awaited 8th Pay Commission seem to have taken a very promising turn the latest of updates having brought forth a declared increase of 30%, much less of the foreseen salary increase of 45-to-50% for central government employees. This has led to mixed reactions among government employees because of expectations of mushrooming salary increments meeting inflation with a spiraling cost of living.

What Was Changed?

The 8th Pay Commission, which was probably going to be implemented in early 2026, was originally supposed to overhaul the salary structure since the implementation of the 7th Pay Commission. Earlier, sources indicated an increase in the minimum basic pay from ₹18,000 to around ₹26,000-₹27,000. However, with the present 30% revision, the minimum pay is pegged around ₹23,400-₹24,000, which is a big cut from the earlier proposed amounts. 

Within resizing, this swooping amendment is taking place at a fiscal-stringency time, wherein the government intends not to let the deficit swell even while giving stepped-up relief to its employees.

How Will The Employees Be Affected?

Considered good by some aspects, the hike is good for over 47 lakh central government employees and 69 lakh pensioners. Disappointingly, however, the percentage remained lower than expected, leaving a lot of room for dissatisfaction. Employees were also anticipating some sort of change in the fitment factor, which remained at 2.57x under the 7th CPC. A possible upward revision of the fitment factor could have greatly strengthened the salary hike, but on this occasion, such an event appears improbable.

Pensioners’ Worries

Also, the pensioners are affected by this update. With a 30% increase and no further fitment factor revision, pension benefits may enhance moderately but not to a much greater extent than expected. The lack of clarity on whether pre-2026 retirees will be covered under the 8th CPC adds to their worry. 

What Next?

The National Council (JCM) is likely to undertake talks with the Finance Ministry to press for reconsideration of the hike percentage and fitment factor. Though the government has not yet issued any final notification, these plans reflect cautious and budgetary-minded thoughts.

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