The Modi government had announced the formation of the 8th Pay Commission last month to revise the salaries, pensions, and allowances of central government employees. However, a key question remains—when will the commission begin its work?
Expenditure Secretary Confirms Timeline
Providing clarity on the matter, Expenditure Secretary Manoj Govil informed CNBC-TV18 on Monday, February 10, that the 8th Pay Commission is expected to start functioning from April 2025, in the financial year 2025-26.
Govil further stated that the Terms of Reference (TOR) for the commission will need approval from the Union Cabinet before work officially begins.
Budget Allocation for Salary Revision
The government has indicated that the 8th Pay Commission’s recommendations will not affect the financial year 2026, ensuring stability in the budget.
Additionally, the Department of Personnel and Training and the Ministry of Defense will be consulted to finalize key aspects. The financial impact of the pay revision is expected to be included in the Union Budget for 2026-27. The changes may also influence the Unified Pension Scheme (UPS).
What is the 8th Pay Commission?
The 8th Pay Commission is set up by the Central Government to review and recommend salary, pension, and allowance revisions for government employees and pensioners.
Dearness Allowance (DA) will be adjusted based on inflation trends.
Salary hikes will be determined as per economic conditions and revenue projections.
The exact percentage of salary increases has not yet been disclosed.
Who Will Benefit?
50 lakh central government employees are expected to receive salary benefits.
65 lakh pensioners may see revisions in their pension structures.
As the government prepares to roll out the 8th Pay Commission, employees and pensioners across India eagerly await further details on salary hikes and financial adjustments.