On Thursday (16th January 2025), the Union Cabinet led by Prime Minister Narendra Modi approved the formation of the 8th Central Pay Commission for central government employees.
The commission will be headed by a Chairman and two members. The panel’s recommendations are expected to be implemented starting from January 2026.
Union Cabinet has approved the proposal to set up the 8th Central Pay Commission: Union Minister @AshwiniVaishnaw#UnionCabinet | #Paycommission pic.twitter.com/Z1VSHjwUHQ
— The Frustrated Indian (@FrustIndian) January 16, 2025
The development comes in line with the tradition of forming new pay commissions every decade. It is done to revise salaries and pensions to ensure financial security for government workers.
Briefing the media about decisions of the Union Cabinet, Minister Ashwini Vaishnaw said that the Prime minister has approved the formation of the 8th Pay Commission for central government employees.
He mentioned that since India’s independence in 1947, there have been seventh pay commissions formed to revise the salaries and benefits of central government employees.
The Minister said, “For your awareness, our Prime Minister has approved the establishment of the 8th Central Pay Commission for all central government employees”.
He lauded PM Modi’s commitment in maintaining a regular schedule for the establishment of pay commissions. The 7th Central Pay Commission was initiated in 2016. Its tenure will complete in 2026.
He added, “Following the commitment made by the Prime Minister to establish pay commissions in a regular rhythm, the 7th Pay Commission started in 2016, and its term will be completed in 2026”.
The Union Minister stressed that setting up the 8th Central Pay Commission well before 2025 will ensure sufficient time to review and finalise its recommendations.
For those unversed, the pay commission plays a pivotal role in determining salary structures, allowances, and other benefits for government employees. Its recommendations have a wider impact affecting millions of workers and pensioners across the country.