Current Status & Timeline
- Cabinet Approval: Union Cabinet approved formation of the 8th Pay Commission on January 16, 2025.
- Coverage: Around 50 lakh central government employees and 65 lakh pensioners.
- Pending Steps: Terms of Reference (ToR) and member appointments not yet finalized.
- Parliament Update: Formation underway, but no official timeline for salary revisions yet.
Implementation Dates & Delays
Initial Target: January 1, 2026, following the 10-year cycle since the 7th CPC.
Revised Estimates:
Reason for Delay: Prolonged process of ToR finalization and appointment of commission members.
Expected Salary Hike & Fitment Factor
- Fitment Factor Projections from different sources:
- 1.8 → ~13% hike.
- 1.83 – 2.46 → 30%–34% hike.
- Up to 2.86 → steeper rise (possible minimum basic pay ₹18,000 → ₹51,480; pensions ₹9,000 → ₹25,740).
- Mechanism: Fitment factor multiplies current basic pay.
- DA Reset: Will be reset to 0% and merged into the new pay.
Highlights of Current Projections
| Feature | Details |
|---|
| Announcement | Cabinet approved formation in Jan 2025. |
| ToR & Appointments | Still pending; causing crucial delays. |
| Initial Target Date | Jan 1, 2026. |
| Revised Timeline | Phased rollout, likely between late 2026 to early 2028. |
| Fitment Factor Range | Projected between 1.8 to ~2.86. |
| Expected Pay Hike | Estimated between 13% to 34%+. |
| Pension & Pay Benefits | Pensioners will also benefit, as revisions are tied to last drawn pay. |
Employee & Union Sentiment
✅ Summary (as of August 2025):
- Approved, but ToR and appointments still pending.
- Implementation may slip to 2027 or early 2028.
- Salary hike projections range from 13% to 34%+, depending on the fitment factor.
- Employee agitation rising due to delays and scope concerns.
