The Union Cabinet on Tuesday approved the formation of the 8th Pay Commission. This decision will benefit more than 50 lakh central government employees and more than 69 lakh pensioners. The 8th Pay Commission will present its recommendations within 18 months of its formation.
Ashwini Vaishnav gave this information while giving information about the decisions taken to the Union Cabinet on Tuesday. He informed that the 8th Pay Commission is expected to be implemented from January 1, 2026. Vaishnav said the terms of reference have been finalized after consultation with various ministries, state governments and the staff side of the Joint Consultative Mechanism.
Pay Commission is constituted every 10 years.
The central government had informed Parliament in July that it had sought suggestions from key stakeholders including the Defense Ministry, Home Ministry, Department of Personnel and Training and states on the formation of the 8th Pay Commission. Union Minister of State for Finance Pankaj Chaudhary had then said that the Pay Commission recommendations would be implemented once they are accepted by the government.
It is noteworthy that the Central Government constitutes a Pay Commission every 10 years to revise the salaries of government employees. The 7th Pay Commission was constituted in February 2014 and its recommendations came into effect from January 1, 2016. Justice Ranjana Prakash Desai has been appointed Chairman of the 8th Pay Commission, while IIM Bangalore Professor Pulak Ghosh and Secretary, Ministry of Petroleum and Natural Gas Pankaj Jain have been appointed as its members.
