8th Pay Commission: Big news for government employees! Basic salary will now be only ₹30000..

8th Pay Commission latest update: Big news has come out for the employees. A new report has revealed that the basic salary of government employees will now be only ₹ 30000. This change will affect the salary of many employees. Check full details here.

8th Pay Commission: Big news has come for about 50 lakh employees and 65 lakh pensioners of the central government. Till now, the employees were expecting that their minimum basic salary would increase from ₹ 18,000 to ₹ 51,000. But according to the new report, there will not be such a big increase in the basic salary. With the implementation of the 8th Pay Commission, the salary of the employees can increase by an average of 13%. Till now, it was expected that the basic salary of the employees could be 3 times. But the new report may shatter the dreams of the employees. However, this relief is not going to be available immediately, as its implementation is not possible before the end of 2026 or the beginning of 2027.

How much will the minimum salary increase? According to the report of Kotak Institutional Equities, the fitment factor in the 8th Pay Commission can be kept at 1.8. This means that the new salary will be decided by multiplying the current salary by 1.8. According to this, the minimum salary can increase from ₹ 18,000 to ₹ 30,000 per month. Till now, reports were saying that it could increase to ₹ 51,000. Employees may be shocked by this new possibility.

What is the fitment factor? : The fitment factor is a multiplier, with the help of which the old salary is converted into the new pay scale. For example, in the 7th Pay Commission, this factor was 2.57, due to which the salary of many employees increased.

Why is there a delay in implementation? According to the report, the government has announced the 8th Pay Commission in January 2025, but its Terms of Reference (ToR) have not been decided yet, and neither have the members of the commission been appointed. Kotak estimates that it will take about one and a half years for the commission's report to come, and after that, it will take 3 to 9 months for the government to approve and implement it.

How much will the government have to spend? : According to Kotak, implementing the pay commission will cost the government an additional Rs 2.4 to 3.2 lakh crore, which will be about 0.6-0.8% of GDP. The biggest benefit will be to Grade C employees, who account for 90% of the central government employees.

Impact on expenses and savings: Like the previous pay commissions, this time too, spending is likely to increase in sectors like cars and consumer clothing (FMCG). Kotak says that this will also increase people's savings. It is estimated that the salary increase can lead to additional savings of Rs 1 to 1.5 lakh crore, which can be invested in the stock market, bank deposits, and physical assets.

Preparation of Finance Ministry: Giving a written reply in Parliament on July 21, 2025, Minister of State for Finance Pankaj Chaudhary said that work on the 8th Pay Commission has started. The ministry has sought suggestions from the Ministry of Defense, the Ministry of Home Affairs, the Department of Personnel, and the states. When the commission gives its recommendations and the government approves them, then they will be implemented.

New Pay Commission comes every 10 years: The Government of India usually constitutes a Pay Commission every 10 years, which makes changes in the salary and pension of the employees, keeping in mind inflation and expenses. Earlier, the 7th Pay Commission was implemented in the year 2016.

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