Union Minister Ashwini Vaishnaw, in January, announced that the Union Cabinet had approved the implementation of the 8th Pay Commission, which will revise the salaries of nearly 50 lakh central government employees.
After almost nine months without any update on the Commission’s official notification, Terms of Reference (ToR), and the appointment of members, employees are still waiting for the commission’s rollout. However, they may need to wait until 2028 for full implementation of the Pay Commission.
Why is 8th Pay Commission likely to be implemented by 2028?
According to the previous commission, it typically takes nearly two to three years for its implementation from the time it is constituted. With over three months left for 2025 to end, the implementation of the pay commission is expected by 2028 after considering the timeline of previous commissions.
Here’s a look at the timeline of previous commissions —
5th Pay Commission
The 5th Pay Commission was appointed in April 1994, and the report was submitted to the government by January 1997. The recommendations were implemented with effect from January 1, 1996. The wages based on this commission simplified pay scales and offered dearness relief.
6th Pay Commission
The 6th Pay Commission was established on October 20 and submitted its report to the government in March 2008. The government accepted the report in August 2008 and adopted the panel’s recommendations, taking into account salaries from January 1, 2006.
Under this commission, the minimum monthly pay was set at ₹7,000, a ₹4,450 hike from the previous commission. This pay commission caused a fundamental change in government salaries by implementing pay bands and grade pay, which led to significant salary hikes.
7th Pay Commission
The 7th Pay Commission was formed in February 2014, and the terms of reference were finalised by March 2014. The report was submitted to the government in November 2015. The government approved the report in June 2016, and the recommendations came into effect in January 2016.
What is the current status of the 8th Pay Commission?
Following the announcement, the government has not yet released the ToR or list of members for the 8th Pay Commission. According to previous commissions, it takes nearly two years to prepare and submit the report after its formation. After submitting the report, the government will require time to consider and approve the report.
Why is Pay Commission important?
Nearly 50 lakh central government employees, including defence personnel, are expected to benefit from the 8th Pay Commission. Almost 65 lakh Central government pensioners, including defence retirees, are expected to benefit after the revision.
The central government constitutes a pay commission to review and recommend changes to the salary structure of government employees. The commission considers factors such as inflation, the state of the economy, income disparities, and related factors. Additionally, it revises bonuses, perks, allowances, and other benefits provided to government employees.
