8th Pay Commission on Hold? Central Govt Employees May Get Salary Hike Based on Performance, Says Report

Delhi, December 20: The government currently has no plans to constitute the 8th Pay Commission for central government employees, Minister of State for Finance, Pankaj Chaudhary, informed the Rajya Sabha recently. In a written reply, Chaudhary clarified, “No such proposal is under consideration with the government for the constitution of the 8th Central Pay Commission at present.”

The 7th Pay Commission, implemented in 2016, increased the minimum salary from Rs 7,000 to Rs 18,000 per month, while the maximum salary for top officials rose to Rs 2.5 lakh per month. With its recommendations still in effect, central government employees and retirees are anticipating the next revision on 8th Pay Commission. Historically, Pay Commissions are set up approximately every decade, with the next one expected by 2026 if the trend continues. 7th Pay Commission: Central Government Employees Likely to Get 3% DA Hike, Announcement Expected in March.

However, government sources suggest that alternative models, such as linking salary revisions to inflation or performance, are being considered to replace the traditional Pay Commission framework. 8th Pay Commission: 186% Salary Hike For Central Govt Employees Soon? Check Latest Update.

Employees have expressed several expectations if the 8th Pay Commission is eventually established. These include raising the minimum salary to INR 26,000-30,000 per month to address rising living costs and adjusting the fitment factor from the current 2.57 to 3.5 or 3.8. Additionally, proposals for revising pensions, especially for pre-7th Pay Commission retirees, and updating House Rent Allowance (HRA) and Travel Allowance (TA) to reflect modern expenses, are anticipated.

Dearness Allowance (DA), currently revised biannually to counter inflation, may also see changes to make it more responsive to economic conditions. While the government’s stance remains unchanged for now, the growing demand from unions and employees has reignited discussions about wage structures, keeping the topic in the spotlight.

(The above story first appeared on LatestLY on Dec 20, 2024 03:08 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).