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Latest 8th CPC News, Pay Matrix, Due Date, Salary Increase, Basic Salary and Fitment Factor

8th Pay Commission Basic Salary | 8th Pay Commission Salary Slab | 8th Pay Commission Salary Increase | 8th Pay Commission Fitment Factor

Constitution of Eighth Central Pay Commission

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF EXPENDITURE

RAJYA SABHA

UNSTARRED QUESTION No. 532

TO BE ANSWERED ON TUESDAY, JULY 25, 2023
SRAVANA 3, 1945 (SAKA)

“Constitution of Eighth Central Pay Commission”

532: SHRI JAVED ALI KHAN

Will the Minister of Finance be pleased to state:

(a) whether Government has not considered para 1.22 contained in 7th Central Pay Commission (CPC) report which recommended that pay matrix of Central Government employees may be reviewed periodically without waiting for long period of 10 years on the basis of Aykroyd formula;

(b) if so, whether Government would constitute Eighth CPC in view of the highest inflation in last 30 years and constitution of Seventh CPC in the year 2013;

(d) if not, the reasons therefor?

ANSWER: MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PANKAJ CHAUDHARY)

(a): The Government has not considered this issue while according the approval of the revision of pay and allowances based on Seventh Central Pay Commission.

(b) to (d): No such proposal is under consideration with the Government for constitution of Eighth Central Pay Commission for the Central Government employees.

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Setting up of 8th Central Pay Commission (CPC)

RAILWAY SENIOR CITIZENS WELFARE SOCIETY
(Estd. 1991, Regd. No. 1881 – Under Registration of Societies Act),
IDENTIFIED BY DOP&PW GOVT. OF INDIA – UNDER PENSIONERS’ PORTAL
MEMBER, SCOVA (STANDING COMMITTEE FOR VOLUNTARY AGENCIES)

No. RSCWS/CHD/Memo -8th CPC/2023-6

Dated: 30-5-2023

Smt. Nirmala Sitharaman,
Hon’ble Minister of Finance,
Government of India,
North Block, New Delhi.- 110001.
CC by Email; Smt. Nirmala Sitharaman MOF

Sub: Setting up of 8th Central Pay Commission (CPC).

Madam,

1.We draw your kind attention and that of the Government towards the financial constraints through which the Central Government employees and pensioners are passing for the last 70 years due to long gaps of 10 years between the Central Pay Commissions since Independence and very negligible rise of Pay & Pension each time due to defective formulae for fixation of revised Pay & Allowances and Pension adopted by each Pay Commission. Thus it leads to erosion of relativity with the other sections of society as well as the relativity vis-a-vis Per Capita Income of the Country.

2. The Seventh Central Pay Commission (CPC) had submitted its report in February 2017. Orders for its implementation were issued in July & August, 2017 with the provision that arrears of Revised Pays be paid w.e.f. 1-1-2016 and that of the Allowances etc. from later date(s).

3. a) Per capita income (as interpolated at current prices) in India had more than doubled from Rs.93,293/- in 2015-16 to Rs 1,97,000/- in 2022-23 (as per Budget Speech of MOF for the year 2023-24).

b) Pay & Pension of Central Govt. employees had increased by only 42% from 1-1-2016 to 1-1-2023 as against a rise of 111% in the Per Capita Income of the Country in this period as per details indicated above.

c) This was a great injustice with the Central Government employees and pensioners, caused due to continuous erosion of their real income; the Dearness Allowances and Dearness Reliefs do not provide requisite relief against inflation nor do they provide the required element to keep pace with the rise in per capita income of the country.

4. Seventh Pay Commission had fixed the Minimum Pay as Rs.18,000 instead of Rs.26,000 and erroneously proposed the fitment Factor as 2.57 instead of 3.15 thus doing great injustice to the employees and the pensioners, who face a triple jeopardy with deficient formula for DA & DR especially on account of irrational weightage to consumable items for compiling Consumer Price Index.

5. Fifth & Sixth Pay Commissions had recommended for delinking the Pay revision from a 10 years norm and link it with the date from which DA / DR rises above 50%. For ready reference, an extract of the relevant Para (1.1.4) of Sixth Pay Commission, is placed at Annexure 1 of this Memorandum.

6. As per the recommendations of the last three Central Pay Commissions, the future pay revision should be done when the DA/DR reaches 50% or more than the basic pay; the pay structure needs revision to neutralize the impact of inflation. The rate of DA/DR is projected to cross 50% or even more from Jan-2024 and as such the Pay & Allowances and Pension needs to be revised from January, 2024 accordingly.

7. The Pay Commissions have all along been taking about 2 years for submitting their Reports and another one year or more is taken by the Government to consider and to implement the same. This further erodes the relative value of the Pay & Pension proposed by Pay Commission.

8. It is therefore requested that Eighth Central Pay Commission may please be set up early and an Interim relief be granted to the Central Government employees & Pensioners w.e.f. 1.1.2024, to compensate them for the erosion of their Pay and Pension due to inflation & loss on account of relativity with GDP.

With regards.

Yours faithfully,
sd/-
Secretary General/RSCWS

ANNEXURE – I

Para1.1.4 of 6th CPC is reproduced below:

1.1.4 The Fifth Pay Commission had recommended that pay revision should, in future, be entrusted to a permanent Pay Commission drawing its authority from a constitutional provision and whose recommendations, made annually, should have a binding character. The Commission, as an alternative, suggested that dearness allowance should be converted into dearness pay every time the cost of living rises by 50% over the base level. In their opinion, DA would normally increase by 50% in a period of 5 years and that this relief could be combined with a decennial exercise of pay revision through a Pay Commission, meeting partially the demands of Central Government employees for a more frequent revision of salaries on the analogy of public sector employees. The Fifth CPC recommended constitution of the next Pay Commission by 2003 so that its report was available by 2006. Although the Government did not appoint the next Pay Commission in 2003, it allowed merger of 50% of dearness allowance with pay with effect from 1/4/2004.

Source: RSCWS

Latest 8th CPC News and Updates

8th Central Pay Commission (CPC) Rajya Sabha Question and Answer

8th Central Pay Commission (CPC) to Revise Salaries, Allowances and Pension of Central Government Employees and Pensioners In Rajya Sabha Question and Answer

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF EXPENDITURE
RAJYA SABHA

UNSTARRED QUESTION No. 1807

TO BE ANSWERED ON TUESDAY, AUGUST 02, 2022

SRAVANA 11, 1944 (SAKA)

“Review of Salary / Allowances / Pension of Central Government Employees / Pensioners”

1807: Shri Naranbhai J. Rathwa Will the Minister of Finance be pleased to state:

(a) whether it is a fact that the Government is considering not to constitute the 8th Central Pay Commission (CPC) to revise salaries, allowances and pension of Central Government employees and pensioners;

(b) if so, the details thereof and the reasons therefor;

(c) whether it is also a fact that 7 CPC had recommended that Government should review the salary, allowances and pension of employees and pensioners every year rather than forming a new Pay Commission after a long period of ten years; and

(d) if so, the reasons for not implementing the recommendations of 7th CPC so far?

ANSWER: MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PANKAJ CHAUDHARY)

(a) No, Sir.

(b) Does not arise.

(c) The Chairman of 7th CPC in his forwarding of the Report in Para 1.22 had recommended that the matrix may be reviewed periodically without waiting for the long period of ten years. It can be reviewed and revised on the basis of the Aykroyd formula which takes into consideration the changes prices of the commodities that constitute a common man’s basket, which the Labour Bureau at Shimla reviews periodically. It is suggested that this should be made the basis for revision of that matrix periodically without waiting for another Pay Commission.

(d) This issue has not been considered by the Union Cabinet while according the approval for the revision of pay and allowances based on 7th CPC.

Source: https://pqars.nic.in/

8th CPC Pay Matrix Table | 8th Pay Commission Pay Matrix Table

8th CPC Latest News

After How Many Years Pay Commission is Implemented?

Pay Commission is set up by Government of India, and gives its recommendations regarding changes in salary structure of its employees.

The first pay commission was established on January, 1946 and it submitted its report in May,
second Pay Commission The second Pay Commission was set up in August 1957
third Pay Commission Shri Raghubir Dayal was the Chairman of the third pay commission. The third Pay Commission, set up in April 1970.
Fourth Pay Commission Fourth Pay Commission was setup for the recommendations for the period between 1986 and 1996
Fifth Pay Commission The Fifth Pay Commission covered the period between 1996 and 2006
Sixth Pay Commission The 6th Pay Commission was set up in July 2006

Generally every pay commission, before recommending a pay structure, it used to analyse all the aspects including the economic situation of the country, financial resources of the government, comparison with the public sector, private sector and state government pay structure etc.

Every time the revised pay was approximately three times higher than its pre-revised level. Apart from all the factors which has been used to determine the pay revision, this simple formula of ‘common multiplying factor’ can be employed to know the 7th pay commission pay scale.

8th Pay Commission Fitment Factor

The fitment factor is the most important recommendation in Pay Commission Report for Government employees. The pay hike will be decided on this aspect only! We compile the previous pay commission fitment factor with minimum basic salary details here for your information…

4th Pay Commission Fitment Factor

Pay Hike in Percentage: 27.6%
Minimum Basic Salary: Rs.750

5th Pay Commission Fitment Factor

Pay Hike in Percentage: 31%
Minimum Basic Salary: Rs.2550

6th Pay Commission Fitment Factor

Fitment Factor: 1.86
Pay Hike in Percentage: 54%
Minimum Basic Salary: Rs.7000

7th Pay Commission Fitment Factor

Fitment Factor: 2.57
Pay Hike in Percentage: 14.29%
Minimum Basic Salary: Rs.18000

8th Pay Commission Fitment Factor

Fitment Factor:?
Pay Hike in Percentage:?
Minimum Basic Salary:?

Expected Basic Salary Structure of 8th Pay Commission

Fitment factor and Minimum Pay of Previous Pay Commissions for CG Employees
Pay Commission	Fitment Factor	Minimum Pay
5^th Central Pay Commission	–	Rs.2550
6^th Central Pay Commission	1.86	Rs.7000
7^th Central Pay Commission	2.57	Rs.18000
8^th Central Pay Commission	?	?

Expected 8th CPC Basic Salary Table

We will update the 8th CPC Pay Matrix Table after publishing the 8th Pay Commission Report.

7th CPC Basic Salary	8th CPC Basic Salary
7th CPC Pay Matrix Level 1 – 18,000	8th CPC Pay Matrix Level 1 – ?
7th CPC Pay Matrix Level 2 – 19,900	8th CPC Pay Matrix Level 2 – ?
7th CPC Pay Matrix Level 3 – 21,700	8th CPC Pay Matrix Level 3 – ?
7th CPC Pay Matrix Level 4 – 25,500	8th CPC Pay Matrix Level 4 – ?
7th CPC Pay Matrix Level 5 – 29,200	8th CPC Pay Matrix Level 5 – ?
7th CPC Pay Matrix Level 6 – 35,400	8th CPC Pay Matrix Level 6 – ?
7th CPC Pay Matrix Level 7 – 44,900	8th CPC Pay Matrix Level 7 – ?
7th CPC Pay Matrix Level 8 – 47,600	8th CPC Pay Matrix Level 8 – ?
7th CPC Pay Matrix Level 9 – 53,100	8th CPC Pay Matrix Level 9 – ?
7th CPC Pay Matrix Level 10 – 56,100	8th CPC Pay Matrix Level 10 – ?
7th CPC Pay Matrix Level 11 – 67,700	8th CPC Pay Matrix Level 11 – ?
7th CPC Pay Matrix Level 12 – 78,800	8th CPC Pay Matrix Level 12 – ?
7th CPC Pay Matrix Level 13 – 1,23,100	8th CPC Pay Matrix Level 13 – ?
7th CPC Pay Matrix Level 13A – 1,31,100	8th CPC Pay Matrix Level 13A – ?
7th CPC Pay Matrix Level 14 – 1,44,200	8th CPC Pay Matrix Level 14 – ?
7th CPC Pay Matrix Level 15 – 1,82,200	8th CPC Pay Matrix Level 15 – ?
7th CPC Pay Matrix Level 16 – 2,05,400	8th CPC Pay Matrix Level 16 – ?
7th CPC Pay Matrix Level 17 – 2,25,000	8th CPC Pay Matrix Level 17 – ?
7th CPC Pay Matrix Level 18 – 2,50,000	8th CPC Pay Matrix Level 18 – ?

What is 8th Pay Matrix Table?

In its report, the 8th Pay Commission may recommend new pay scales. The new Pay Matrix Table is the 8th CPC Pay Matrix Table.

8th Pay Commission Date in India?

Constitution of 8th Pay Commission Pay Commission likely to be announced in 2024. Recommendations of 8th CPC may be implemented from 1.1.2026.

What is the 8th CPC Pay Scale?

Currently, we do not have enough details about the pay committee to be set up and its functions. We will soon announce the new pay scale of 8th CPC!

What is 8th Central Pay Commission?

The 8th Central Pay Commission is a committee of members nominated by the Central Government to revise the pay policies and structure of pay and pension for all Central Government employees including the Defense Forces in India.

What is the fitment factor in 6th and 7th CPC?

The 6th CPC recommended 1.86 as a fitment factor and the 7th CPC has recommended 2.57 as a fitment factor from 1.1.2016.