What to Expect from the 8th Pay Commission: Compared to the 7th

8th pay commission

About 50 lakh central government employees are hoping for better things from the 8th pay commission.The 7th Pay Commission is the current system that decides how much government employees are paid. It’s been in place for a while, but it’s getting old (its term ends in December 2025). So, the government has now approved the 8th Pay Commission. This means they’re going to have a new system for deciding monthly salary.

  • 7th Pay Commission: The old way of deciding salaries.
  • 8th Pay Commission: The new and improved way that will come into effect soon.
8th pay commission

7th Pay Commision vs 8th Pay Commission

The 7th Pay Commission, which started in 2016, made some big changes to how government employees are paid.

  • Basic Pay: The lowest possible salary went up from ₹7,000 to ₹18,000 a month. This means everyone got at least this much.
  • Salary Increase: A “fitment factor” of 2.57 was used to calculate everyone’s raise, so the increase was fair across all levels of employees. Think of it like a multiplier that boosted everyone’s salary.
  • Allowances: Things like cost-of-living adjustments (Dearness Allowance or DA), help with rent (House Rent Allowance or HRA), and money for travel (Transport Allowance or TA) were all changed to keep up with how expensive things were getting.
  • Pensions: The minimum pension doubled from ₹3,500 to ₹9,000 a month, helping retired government workers.
  • Pay Structure: The way salaries were organized was simplified with a new system of 19 levels, making it easier to understand and more transparent.

Now that the 8th pay commission is on the way, many are wondering what changes it will bring.

  • Higher Starting Salaries: The lowest government salary could go up a lot, maybe between ₹34,500 and ₹41,000 per month.
  • Bigger Pay Rises: A key number used to calculate raises (called the “fitment factor”) might also go up, meaning bigger pay jumps for everyone.
  • Allowances That Keep Up: Things like cost-of-living adjustments, help with rent, and travel money are expected to increase to match how expensive things are getting.
  • Better Pensions: Retirees are hoping for bigger pensions, paid on time, and adjusted to match the new salaries.
  • Rewarding Good Work: The government might start linking pay to job performance, to encourage employees to work harder and be more efficient.

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