Anticipated Salary Hike Under the 8th Pay Commission
With growing discussions around the 8th Pay Commission, central employees are eager to know the impact on their salaries, the revised Fitment Factor, and Dearness Allowance (DA). To provide clarity, we have analyzed historical trends and created an estimate of potential salary increases.
The salary hike will be based on the Fitment Factor and DA. A review of past pay commissions shows varied increments:
| Pay Commission | Recommended Increment (%) |
|---|---|
| 2nd CPC (1959) | 14.20% |
| 3rd CPC (1973) | 20.60% |
| 4th CPC (1986) | 27.60% |
| 5th CPC (1996) | 31.00% |
| 6th CPC (2006) | 54.00% |
| 7th CPC (2016) | 14.27% |
| Average Increase | 27% |
The Fitment Factor plays a crucial role in salary determination. The multipliers from past pay commissions were:
| Pay Commission | Fitment Factor |
| 6th CPC (2006) | 1.86 |
| 7th CPC (2016) | 2.57 |
| 8th CPC (2026) (Expected) | 1.90 |
Various scenarios have been considered to predict the salary hike:
| Probability (Scenario) | Estimated DA (01.01.2026) | Potential Salary Increase (%) |
| Very Optimistic | 62% | 24% |
| Very Pessimistic | 60% | 12% |
| Normal Expectation | 61% | 18% |
Under normal circumstances, an 18% salary hike is expected in the 8th CPC, along with a DA reaching 61%. The implementation is anticipated from January 1, 2026. However, once the new commission is enforced, the DA will reset to zero and merge with the basic pay before recalculating.
If the current basic pay is ₹50,000, the estimated salary after the 8th CPC would be:
| Basic Pay | Fitment Factor (1.90) | New Basic Pay | DA (61%) | Total Salary |
| ₹50,000 | 1.90 | ₹95,000 | ₹57,950 | ₹1,52,950 |
The government has not yet constituted the 8th Pay Commission. Sources suggest it will be formed from April 1, 2025, and will begin its work. The implementation is expected by January 2026, subject to the commission’s recommendations and government approval. Budgetary allocations may also be made in the 2026 financial year.
