8th Pay Commission Big Breaking: Modi government breaks silence on Salary hike, says implementation would be taken up once…, Finance Ministry plans to…
8th Pay Commission: Addressing the concerns of lakhs of Central government employees and pensioners over the 8th pay panel, the Modi government on Monday said that the appointment of members and the chairperson would be finalised once the commission is notified by the government. It is important to note that the 8th Pay Commission is pending since the finance ministry is yet to finalise the Terms of Reference (ToR), which will form the basis for the revision in salaries and pensions for over 1 crore central government employees and pensioners.
Minister of State in the Ministry of Finance Pankaj Chaudhary, in the Lok Sabha, replied to queries raised by parliamentarians T R Balu and Anand Bhadauria. Members asked the government whether it has notified the 8th Pay Commission which was announced in January 2026.
They also questioned the reasons for not setting up the 8th pay panel even after lapse of six months of announcing the commission.
Ministry of Finance Pankaj Chaudhary in Parliament:
Chaudhary said, 'It has been decided by the government to constitute the 8th Central Pay Commission (CPC). Inputs have been sought from major stakeholders, including Ministry of Defence, Ministry of Home Affairs, Department of Personnel & Training and from states.'
According to a recent report by Ambit Capital, the new pay structure could lead to a 30–34 percent hike in overall remuneration, impacting over 1 crore employees and retirees nationwide. Some of the key allowances that central government employees get are house rent allowance (HRA), transport allowance (TA) and child education allowance (CEA).
Curious about how these revisions may look for employees in Grade Pay levels 2400, 4200, 4800, 7600, and 8700 under 1.92x and 2.57x fitment factors? Check out our projections for a detailed breakdown: At 1.92 fitment factor
Revised basic pay: Rs 54,528 HRA: Rs 13,086.72 TA: Rs 3,600 Gross salary: Rs 71,214.72 NPS: Rs 5,452.80 CGHS: Rs 250
Net salary: Rs 65,511.92 At 2.57 fitment factor
Revised basic pay: Rs 72,988 HRA: Rs 17,517.12 TA: Rs 3,600 Gross salary: Rs 94,105.12 NPS: Rs 7,298.80 CGHS: Rs 250
Net salary: Rs 86,556.32 At 1.92 fitment factor
Revised basic pay: Rs 73,152 HRA: Rs 17,556.48 TA: Rs 3,600 Gross salary: Rs 94,308.48 NPS: Rs 7,315.20 CGHS: Rs 250
Net salary: Rs 86,743.28 At 2.57 fitment factor
Revised basic pay: Rs 97,917 HRA: Rs 23,500.08 TA: Rs 3,600 Gross salary: Rs 1,25,017.08 NPS: Rs 9,791.70 CGHS: Rs 250
Net salary: Rs 1,14,975.38 At 1.92 fitment factor
Revised basic pay: Rs 1,12,512 HRA: Rs 27,002.88 TA: Rs 3,600 Gross salary: Rs 1,43,114.88 NPS: Rs 11,251.20 CGHS: Rs 650
Net salary:Rs 1,31,213.68 At 2.57 fitment factor
Revised basic pay: Rs 1,50,602 HRA: Rs 36,144.48 TA: Rs 3,600 Gross salary: Rs 1,90,346.48 NPS: Rs 15,060.20 CGHS: Rs 650
Net salary: Rs 1,74,636.28 At 1.92 fitment factor
Revised basic pay: Rs 1,53,984 HRA: Rs 36,956.16 TA: Rs 7,200 Gross salary: Rs 1,98,140.16 NPS: Rs 15,398.40 CGHS: Rs 650
Net salary: Rs 1,82,091.76 At 2.57 fitment factor
Revised basic pay: Rs 2,06,114 HRA: Rs 49,467.36 TA: Rs 7,200 Gross salary: Rs 2,62,781.36 NPS: Rs 20,611.40 CGHS: Rs 650
Net salary: Rs 2,41,519.96 At 1.92 fitment factor
Revised basic pay: Rs 1,85,472 HRA: Rs 44,513.28 TA: Rs 7,200 Gross salary: Rs 2,37,185.28 NPS: Rs 18,547.20 CGHS: Rs 650
Net salary: Rs 2,17,988.08 At 2.57 fitment factor
Revised basic pay: Rs 2,48,262 HRA: Rs 59,582.88 TA: Rs 7,200 Gross salary: Rs 3,15,044.88 NPS: Rs 24,826.20 CGHS: Rs 650
Net salary: Rs 2,89,568.68
(Disclaimer: These are projections. Actual revised amounts may vary.)
Ambit Capital estimates that the fitment factor for the 8th Pay Commission could be in the range of 1.83 to 2.46. This implies that the minimum salary, currently at Rs 18,000, could increase to Rs 32,940 (at 1.83) or even Rs 44,280 (at 2.46).
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