8th Pay Commission Gets Cabinet Approval

By Fnf Correspondent | PUBLISHED: 16, Jan 2025, 18:47 pm IST | UPDATED: 16, Jan 2025, 18:47 pm IST

New Delhi: In a big update for the Central government employees and pensioners ahead of the presentation of Union Budget 2025, the government on Thursday approved the formation of the 8th Pay Commission. The chairman and two members of the Commission will be appointed soon. The decision to set up the 8th Pay Commission was taken by Prime Minister Narendra Modi, I&B Minister Ashwini Vaishnaw said.

The 8th Central Pay Commission, once set up and recommendations are accepted, will impact the salary brackets of approximately 49 lakh government employees and 68 lakh pensioners.

Union Minister Ashwini Vaishnaw, confirming the news said, "The term for 7th pay commission ends in 2026, 10 years after its recommendations in 2016. Well before that i.e 2026, the establishment of 8th Pay Commission will give ample time for recieving the recommendations before the term for 7th pay commission ends".

Vaishnaw said consultations will be held with central and state governments and other stakeholders.

The pay commission is usually implemented after a gap of 10 years. The 7th Pay Commission was constituted in 2014 and its recommendations were implemented on January 1, 2016. Since the recommendations of the 7th Pay Commission was accepted in 2016, the next will be in effect in 2026.

The government has constituted seven pay commissions Since 1947. The pay commission has a key role in deciding salary structures, benefits and allowances for government employees and pensioners. As has been the convention, most of the state-owned organisations follow the commission's recommendations.

Since the government has now decided to set up the 8th pay commission, it will require over a year or 18 months for its recommendations to be submitted. And once 8th Pay Commission recommendations are accepted by the government, it is most likely that it will be implemented by 2026, as per media reports.