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8th Pay Commission: JCM Pushes for Restoration of OPS, Strong Demand for Changes in Terms of Reference

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The demand for restoring the Old Pension Scheme (OPS) has gathered strong momentum as the National Council’s Standing Committee–JCM has intensified its efforts before the 8th Central Pay Commission. During the recent meeting, the committee highlighted the need to bring OPS back and revise pensions for all existing pensioners and family pensioners. Along with this, over 30 key issues—including minimum salary, fitment factor, MACP, allowances and HRA—were discussed as part of the recommendations to be submitted to the commission.

According to a report by Moneycontrol, the Standing Committee of the National Council–JCM held a crucial meeting on 15 November in New Delhi. In this meeting, the JCM placed significant emphasis on including OPS restoration in the 8th Pay Commission’s recommendations. Every proposal was agreed upon unanimously, reflecting a strong collective demand from various employee unions represented by JCM.

Why the Demand for OPS Restoration Has Intensified

A major issue arises from the Terms of Reference (ToR) issued for the 8th Pay Commission. The central government has indicated a possible review of the “unfunded cost of non-contributory pension schemes”. Since OPS is a non-contributory scheme where employees do not deposit any amount toward their pension, the JCM has demanded the removal of clause (f)(iii) from the ToR.

JCM believes that continuing with the clause could weaken the case for OPS. This is why employee unions are pushing firmly to revise the ToR, ensuring OPS is considered fairly during the commission’s review.

Timeline for Submitting Suggestions

The Standing Committee has asked all affiliated organizations to submit their recommendations for the 8th Pay Commission by 15 December 2025. A drafting committee will then study these suggestions in detail. After careful examination, the staff side will prepare the final consolidated memorandum, which will be formally presented to the 8th Central Pay Commission.

Key Issues Identified for the 8th Pay Commission

JCM has listed 30 major agenda points, and all associated unions have been instructed to share detailed inputs. The main focus areas include:

– Fixation of minimum salary
– Fitment factor revision
– Maximum salary and pay matrix improvements
– MACP (Modified Assured Career Progression) enhancements
– Revision of allowances
– Bonus structure
– HRA restructuring
– Improvements in insurance schemes
– Changes in leave and transfer policies
– Regularization of contract and casual workers
– Restoration of OPS
– Revision of pensions for all pensioners who retired before 1 January 2026

These points reflect the broad range of financial and service-related reforms that employees expect from the upcoming pay commission.

Formation and Timeline of the 8th Pay Commission

The government officially constituted the 8th Central Pay Commission on 3 November 2025. The commission is headed by former Supreme Court judge Ranjana Prakash Desai, who serves as the Chairperson. Its primary responsibility is to comprehensively review the salary structure, allowances, pension rules, and service conditions of central government employees.

The commission is expected to submit its recommendations within 18 months of its formation. This means the final report may be presented around mid-2027, after which the government will review and take final decisions regarding implementation.

With strong employee pressure and widespread consensus within JCM, OPS restoration and pension revision have emerged as top priorities. As discussions intensify and recommendations are finalized, the 8th Pay Commission is set to play a crucial role in reshaping the future of pay, pensions, and service rules for central government employees.