8th Pay Commission Update: Pensioners' Association Demands 3.833 Fitment Factor and 6% Annual Increment

The Karnataka Posts and Telecommunications Pensioners' Association has submitted formal proposals to the 8th Pay Commission, demanding a 3.833 fitment factor, a doubling of annual increments to 6 per cent, and substantial increases in minimum pay and pensions. The recommendations were presented during stakeholder consultations held by the three-member commission panel, headed by Justice Ranjana Prakash Desai, as part of its ongoing nationwide review process.

Proposed Revisions to Pay and Pension

The association's memorandum argues that existing salary and pension structures must be significantly upgraded to help central government employees and pensioners cope with inflation and rising living expenses, reports Livemint. 8th Pay Commission News: How Basic Pay Could Rise Under 3.25 and 3.833 Fitment Factors.

The primary structural revisions proposed by the union include:

• Minimum Basic Pay: Proposed to increase from the existing INR 18,000 to INR 69,000 per month.
• Minimum Basic Pension: Proposed to rise from INR 9,000 to INR 34,470 per month.
• Annual Increment Rate: Proposed to double from the current 3 per cent to 6 per cent.
• Fitment Factor: Recommended at 3.833.

Applying the proposed 3.833 fitment factor to the existing minimum basic pay of INR 18,000 results in approximately INR 68,994, which the union rounded to its core demand of INR 69,000. Similarly, applying the multiplier to the existing minimum pension of INR 9,000 forms the basis for the proposed pension demand of INR 34,470.

Modernising the Aykroyd Formula and Family-Unit Norms

Beyond direct pay adjustments, the association has called for an update to the traditional "Aykroyd formula" used for assessing minimum wage requirements. The union emphasised that modern calculations must account for contemporary household expenses, including digital services and internet connectivity, which have become essential for day-to-day living. Additionally, the association has proposed broadening the standard family-unit calculation framework from 3 units to 5 units. The revised breakdown accounts for the employee, a spouse (without gender discrimination), two children, and dependent parents (valued at 0.8 units each), aiming to reflect actual household dependencies more accurately. 8th Pay Commission Salary Hike: When Can Central Government Employees Expect Revised Pay?

Commission Timeline and Next Steps

The proposals put forward by the Karnataka Posts and Telecommunications Pensioners' Association represent demands from stakeholder unions and have not yet been approved by the central government. The 8th Pay Commission was constituted on November 3, 2025, and the three-member panel is expected to submit its final report within 18 months, by May-June 2027. The consultative process is ongoing, with additional review meetings scheduled to begin in Mumbai on October 22, 2026. Central government employees and pensioners await the panel's final recommendations and subsequent clearance by the central government.

(The above story first appeared on LatestLY on Oct 11, 2026 03:10 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).