When will the eighth pay commission be established? Government Shares Clue
DA rate is adjusted every six months according to the rate of inflation.
New Delhi: The 8th Pay Commission will come into force on 1 January 2026, continuing the tradition of launching a new pay commission every decade. The 7th Pay Commission was constituted in February 2014 and its recommendations came into effect from 1 January 2016. Central government employees and pensioners were highly hopeful that Union Finance Minister Nirmala Sitharaman would announce the establishment of the 8th Pay Commission during the Union Budget presentation in Parliament. On July 23.
Ahead of the presentation of the Union Budget 2024-25, there were speculations in various media that the Union Government would announce the setting up of the 8th Pay Commission. However, this was not announced. Expectations were also set that the government would announce a pension equivalent to 50% of the last drawn salary under the New Pension System (NPS) for government employees. These employees are advocating abolition of NPS and re-introduction of Old Pension Scheme (OPS).
Finally, there have been no developments on both these fronts for central government employees.
Union Finance Secretary TV Somanathan hinted in a post-Budget interview that the government would take a decision on the matter soon. He mentioned that the next Pay Commission is scheduled for 2026, and since it is only 2024, there is enough time. Earlier, the government had received two appeals regarding the constitution of the 8th Central Pay Commission. However, information was given in the Parliament on Tuesday that no proposal is currently under consideration.
“Two representations have been received for setting up the 8th Central Pay Commission in June 2024. Currently no such proposal is under consideration of the government,” Minister of State for Finance Pankaj Chaudhary said in a written reply in the Rajya Sabha.
Dearness Allowance (DA) is provided to cover the depreciating real value of salaries of Central Government employees due to inflation. DA rate is adjusted every six months according to the rate of inflation.
(with PTI input)
