The Union Cabinet has given the green light for the formation of the Eighth Central Pay Commission, just ahead of the budget. This comes as big news for government employees, as it could impact their salaries, basic pay and allowances.
While the government has given its approval for the formation of the commission, it is expected to be established by 2026.
Union Minister of Railways, Ashwini Vaishnaw mentioned that a chairman and two members will soon be appointed to oversee the rollout of the 8th Pay Commission.
Vaishnaw also added that the seventh Pay Commission, which was established in 2016, will complete its term in 2026. He also added that the chairman and two members of the new commission will be appointed soon. The seventh pay commission witnessed an expenditure increase of Rs 1 lakh crore for FY 2016-17.
What does this means for govt. employees?
As per official sources, around 50 lakh central government employees, including defence personnel will benefit from the formation of the eighth pay commission. "Approximately 65 lakh pensioners, including defence persons, will also see an uptick in their pensions," the source said.
Around 4 lakh employees in Delhi, including those in the defence sector and Delhi government, will benefit from the eighth Pay Commission. Typically, Delhi government employees also see a salary increase when the Central Pay Commission is implemented.
