8th Pay Commission for central government employees: What did the government say about the constitution of committee in Parliament?

The government has officially confirmed its decision to constitute the 8th Central Pay Commission (8th CPC) for central government employees. The move is expected to impact the pay structure and pensions of lakhs of government servants and pensioners across the country. Central government employees are awaiting the government’s announcement of a committee to review their salaries, pensions, and other allowances. The Members of Parliament T.R Baalu and Anand Bhadauria asked the government about the progress on the constitution of the committee for the 8th Pay commission. According to the government’s reply, inputs have been sought from the major stakeholders. Chairperson and members of the 8th Pay commission would be appointed once the 8th CPC is notified by the government. The government is yet to announce a committee and terms of reference for the same.

Will 8th Pay Commission be implemented in January 2026? Take a look at possible timeline, DA hike, and other benefits

ET Wealth Online tells you in detail the questions asked by the Members of Parliament on the 8th Pay Commission and government’s reply on the same.

Questions on 8th Pay Commission

Parliamentarians T.R Baalu and Anand Bhadauria, Members of Lok Sabha, asked the following questions to the government:
Whether the government has formally notified the constitution of the 8th Central Pay Commission, following its announcement in January 2025.
(b) if so, the details thereof and if not, the reasons for not setting up it after lapse of six months;
The government in the Parliament replied, “It has been decided by the Government to constitute the 8th Central Pay Commission (CPC). Inputs have been sought from major stakeholders, including the Ministry of Defence, Ministry of Home Affairs, Department of Personnel & Training and from States.”
(c) The time by which the Chairperson and Members of the 8th CPC would be appointed along with the terms of reference of the Commission?
The government replied: The Chairperson and Members of the 8th CPC would be appointed once the 8th CPC is notified by the government.
(d) The time by which the revised pay scales will be implemented for the employees and pensioners?
The government replied: The implementation would be taken up once the recommendations are made by the 8th CPC and are accepted by the government.

Current government employees, pensioners may see revised benefits
The setting of 8th Pay commission is not only being eagerly awaited by salaried employees but also by the pensioners. Nearly 67 lakh government pensioners are also impacted by any revision in the pay scale.
Previous Pay Commissions have included changes in pension calculation formulas and benefits, and similar adjustments are expected this time as well.

The merger of Dearness Relief (DR) into basic pension also affects pensioners, as their payouts are tied to similar structures. Any revision in the base figures could significantly alter monthly pension amounts.

Retired employees’ associations have echoed the concerns of serving staff, pushing for greater clarity from the government on how pension recalculations will be carried out in the new structure.

Expected salary hikes after 8th Pay Commission for government employees

According to a report by Ambit Capital, the 8th Pay Commission could see the minimum salaries of government employees to be hiked to Rs Rs 40,000 – Rs 45,000, with pension adjustments following suit. DA will reset, but higher allowances may offset the initial flattening in salary growth.

The 8th Pay Commission is aimed to deliver significant financial changes for government employees and pensioners. Yet, the pace of bureaucracy, pending approvals, and fiscal balancing may delay the implementation beyond the earlier-set target of January 2026, said the report.