8th Pay Commission Approved For Central Government Employees,
Prime Minister Narendra Modi has approved the 8th Central Pay Commission for all Central Government employees, informed Union Minister Ashwini Vaishnaw at a meeting of the Cabinet chaired by Prime Minister Narendra Modi,
The Central Pay Commission (CPC) in India is a government-appointed body responsible for reviewing and recommending changes to the salary structure, allowances, and pensions of central government employees and pensioners.
Established periodically since 1946, the CPC evaluates factors such as inflation, cost of living, and government finances to ensure fair and equitable compensation. Its recommendations aim to balance employee welfare with fiscal prudence.
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The 7th Pay Commission made major changes to the salary structure of central government employees. One major change was the introduction of a fitment factor, which is a multiplier used to calculate salaries and pensions. The government decided on a fitment factor of 2.57, despite employee unions demanding 3.68.
As a result of this change, the minimum basic pay increased from Rs 7,000 to Rs 18,000 per month. The minimum pension also rose from Rs 3,500 to Rs 9,000. Additionally, the maximum salary was capped at Rs 2,50,000, and the maximum pension at Rs 1,25,000.
Other key changes included the introduction of a pay matrix table, which simplified the pay scale structure and the merger of pay bands and grade pay into a composite level. The commission also recommended changes to allowances, advances, and pension payments.
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So far, seven CPCs have been constituted, each bringing significant changes to the pay scales. The implementation of CPC recommendations impacts millions of employees, including defence personnel, and influences state government pay revisions indirectly.
The minister announced that the chairman and two members of the Commission will be appointed shortly. To ensure a comprehensive approach, consultations will be held with central and state governments, as well as other stakeholders.
