Ahead of the Delhi Assembly elections, the government announced the formation of the 8th Central Pay Commission (CPC), which aims to revise the salaries and pensions of central government employees and pensioners. However, the process seems to be at a standstill, as the government has yet to define the commission's working rules or set a timeline for its implementation.
The 8th CPC is expected to impact approximately 36.57 lakh central employees and 33.91 lakh pensioners, including defense personnel. The commission's recommendations will determine the extent of the financial burden on the government and its overall impact on the economy.
Finance Minister Nirmala Sitharaman confirmed in Parliament that the government has decided to form the 8th CPC, which will recommend salary and pension revisions. However, she clarified that the rules governing the commission's functioning have not yet been formulated, and no specific timeline has been set for its implementation.
MPs Kangana Ranaut and Sajda Ahmed questioned the government about the status of the 8th CPC, seeking details on its formation, rules, and expected benefits. In response, the Finance Minister provided official figures, stating that as of March 1, 2025, there are 36.57 lakh central government employees and as of December 31, 2024, there are 33.91 lakh pensioners/family pensioners.
The Finance Minister stated that the actual financial impact of the 8th CPC will only be clear once the commission submits its recommendations and the government approves them. To ensure a balanced approach, the government has sought suggestions from key ministries, including:
While the announcement of the 8th Pay Commission has raised expectations among government employees and pensioners, the delay in setting operational guidelines has created uncertainty. The government is now expected to move forward with the next steps, including defining the commission's working process and evaluating its financial impact on the economy.