8th Pay Commission: How Much Arrears Can Central Govt Employees Get?
The 8th Pay Commission has become a major talking point among central government employees and pensioners, as delays in its implementation could mean sizeable arrears once the new pay structure comes into force. While the government has initiated the process, clarity on the rollout date is still awaited.
New Delhi, January 25: The 8th Pay Commission has become a major talking point among central government employees and pensioners, as delays in its implementation could mean sizeable arrears once the new pay structure comes into force. While the government has initiated the process, clarity on the rollout date is still awaited.
Latest update on 8th Pay Commission
In October 2025, the Union Cabinet approved the Terms of Reference (ToR) for the 8th Pay Commission, officially allowing the panel to begin studying salary structures, allowances and pensions. Union Minister Ashwini Vaishnaw confirmed that the commission has been approved by Prime Minister Narendra Modi, but the final implementation date will be decided after the interim report is submitted. 8th Pay Commission Latest Update: Employee Bodies to Meet Soon to Finalise Salary Hike Demands.
Traditionally, pay commissions in India are set up every 10 years. The 7th Pay Commission was implemented from January 1, 2016. Based on this pattern, many employees expected the 8th Pay Commission to be effective from January 1, 2026. However, this remains an expectation and not an official announcement so far. 8th Pay Commission: Central Employees Unlikely To Receive Salary Hike in 2026 As ICRA Warns of Massive Arrears Burden.
The recommendations of the 8th Pay Commission are expected to impact:
• Around 50 lakh central government employees, including defence personnel
• Nearly 69 lakh pensioners across India
Any upward revision in basic pay will also influence Dearness Allowance (DA), House Rent Allowance (HRA) and pension payouts.
Arrears come into play when revised salaries are implemented retrospectively. If the government approves the new pay structure from an earlier date but disburses salaries later, employees receive the difference for the delayed months as arrears, often running into lakhs of INR.
The arrears amount depends on the delay period and the salary hike.
• Old monthly salary: INR 40,000
• New monthly salary: INR 50,000
• Monthly increase: INR 10,000
If the revised pay is effective from January 2026 but paid from May 2027 (a delay of 15 months):
INR 10,000 × 15 months = INR 1,50,000
In this case, the employee could receive INR 1.5 lakh as arrears.
According to Ashwini Vaishnaw, the government is open to January 1, 2026, as the likely date, but the final decision will depend on the commission’s findings. A similar process was followed earlier, the 7th Pay Commission was set up in February 2014, while its recommendations were implemented from January 2016.
Until an official notification is issued, central government employees and pensioners will need to wait, with hopes that any delay could translate into substantial arrears under the 8th Pay Commission.
(The above story first appeared on LatestLY on Jan 25, 2026 11:04 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).