The 'Pay Matrix' of the 7th Pay Commission may also be implemented in the 8th Pay Commission..

There's big news for government employees. Insider buzz surrounding the 8th Pay Commission suggests that the salary formula will remain unchanged. Yes, the pay matrix used in the 7th Pay Commission will form the basis for the 8th. The only difference will be updates, like a new fitment factor and level merging.

Why is the 7th formula being repeated?

The 7th Pay Commission's pay matrix was designed to be so simple and understandable that it eliminated all the confusion surrounding the old pay bands and grade pay. This 18-level matrix gave every employee a clear idea of ​​where their basic salary could range. Now, the government is preparing to extend this structure in the 8th Pay Commission.

Dr. Aykroyd's 'Magic' Formula
This entire matrix is ​​based on a famous formula—the Dr. Wallace Aykroyd Formula. This formula determines the minimum salary an average Indian should receive to meet their basic needs. This determines the minimum wage, and from there, the entire pay matrix is ​​formed.

How much will the salary increase? (The Game of Fitment Factor)
Now, let's come to the most important question: how much will the salary increase?

Current minimum basic pay: ₹18,000
New fitment factor (expected): 1.92
New basic pay = ₹18,000 × 1.92 = ₹34,560
That means a direct jump of ₹16,560 in the basic salary alone. Adding DA, HRA, TA, and other allowances will increase the salary even more.

Pay level merging – promotions easier, salary boost
There is also news that some pay levels may be merged this time. For example:

Level 1+2 = New A
Level 3+4 = New B
Level 5+6 = New C

If this happens, the salaries of those at lower levels will increase immediately, and promotions will be more likely.

Impact on HRA and TA:
If salaries increase, HRA and TA will automatically be recalculated to the new basic salary. The HRA slab will change based on city categories (X, Y, Z), and the TA entry may also increase.

Insurance Cover Also Under Consideration:
Currently, the insurance cover provided in case of death during government duty is very low. Sources suggest that increasing it under the 8th Pay Commission is also being considered to provide adequate protection to the family.

When will the benefits begin?
The 8th Pay Commission has not yet been formally constituted, but it is estimated that it will be implemented in 2026. If the government issues a notification by the end of 2025, employees could receive both the new salary and arrears from January 1, 2026.

Conclusion
This move can be considered a balanced one for the government—no hassle of creating a new matrix, and a clear pay increase for employees. If the proposed fitment factor of 1.92 becomes a reality, the minimum wage could exceed ₹34,000. The rest is in the government's court, and millions of employees are now simply waiting for the official announcement.

Disclaimer: This content has been sourced and edited from Zee Business. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.