8th Pay Commission: Modi Govt to give Big Salary and Pension Hike for Central Government Employees & Pensioners, see what will be your new expected salary

8th Pay Commission: Modi Govt to give Big Salary and Pension Hike for Central Government Employees & Pensioners, see what will be your new expected salary

The Union Cabinet approved the 8th Pay Commission on January 16, 2025. It is expected that under th 8th Pay Commission, a big hike will be seen in salaries and pensions for central government employees and retirees.

8th Pay Commission Effective Date

According to media reports, the 8th Pay Commission is scheduled to be implemented from January 1, 2026. It will benefit over 50 lakhs central government employees and approximately 65 lakh pensioners by revising salaries, pensions, and allowances.

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Under the 7th Pay Commission used a fitment factor of 2.57 was used. Experts suggest the 8th Pay Commission may raise the fitment factor to 2.86.

If approved, the minimum basic salary for central government employees and pensioners could hike from ₹18,000 to ₹51,480, and the minimum pension from ₹9,000 to ₹25,740.

Allowance Hike under the 8th Pay Commission

With a basic pay hike, several allowances like House Rent Allowance (HRA) and Travel Allowance (TA) are also expected to be revised depending on the situation. Central government employees will also see changes in contributions to the National Pension System (NPS) and the Central Government Health Scheme (CGHS).

At present, central government employees contribute 10% of their basic pay plus dearness allowance to NPS, while the government contributes 14%. With a salary hike, both the employee and government contributions are expected to increase, along with revised CGHS charges based on the new salary slabs.

Expected New Salary for Central Government Employees under the 8th Pay Commission

Expected new salaries under the 8th Pay Commission are as follows:

• Pay Grade 2000 (Level 3): Basic Pay ₹57,456 | Gross ₹74,845 | In-hand ₹68,849
• Pay Grade 4200 (Level 6): Basic Pay ₹93,708 | Gross ₹1,19,798 | In-hand ₹1,09,977
• Pay Grade 5400 (Level 9): Basic Pay ₹1,40,220 | Gross ₹1,81,073 | In-hand ₹1,66,401
• Pay Grade 6600 (Level 11): Basic Pay ₹1,84,452 | Gross ₹2,35,920 | In-hand ₹2,16,825

These figures are provisional and based on expectations. Final decisions on the pay hike will depend on the commission’s official recommendations and cabinet approval.

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