New Delhi, August 21: As Bihar gears up for elections, political speculation is rife over whether the Centre might use the 8th Central Pay Commission (CPC) to woo government employees and pensioners—a key voter segment. The buzz comes on the heels of Prime Minister Modi’s GST reforms being touted as a “Diwali gift,” widely seen as a strategic move to energise the BJP’s base. Could the 8th CPC be the next surprise incentive?

Officially, the 8th CPC isn’t expected until late 2026 or early 2027. Announced in January 2025, the commission is yet to have its Terms of Reference set or members appointed. Based on past patterns, it usually takes around 18 months to finalise the report, followed by Cabinet approval and rollout, meaning employees may face a long wait. 8th Pay Commission: Will Central Government Employees and Pensioners Have to Wait Until 2028 for Their Salary Hike Amid Delays?

Yet politics often defies timelines. Even an announcement or notification kickstarting the process could be positioned as a pre-election “sweetener” for government staff, boosting sentiment and consumption temporarily. The financial implications are significant, with estimated costs between INR 2.4 lakh crore and INR 3.2 lakh crore, or roughly 0.6–0.8% of India’s GDP, which could strain fiscal resources. 8th Pay Commission Fitment Factor: What Central Government Employees Can Expect From Upcoming Salary Revision in 8th CPC.

Meanwhile, the Finance Ministry has begun consultations with Defence, Home Affairs, Personnel & Training, and state governments to gather inputs ahead of any official notification. Minister of State for Finance Pankaj Chaudhary confirmed Parliament that such preparatory discussions are underway.

With the 7th Pay Commission taking nearly 27 months from notification to implementation, a fast-tracked announcement would mark a break from tradition. Whether the Centre will leverage the 8th CPC as an electoral tool in Bihar remains speculation—but the topic is set to dominate political chatter in the run-up to the polls.

(The above story first appeared on LatestLY on Aug 21, 2025 02:05 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).