8th Central Pay Commission: Other than pay revision, allowances, pension benifits, a major discussion is going around the promotion of central government employees during their service period. If government agrees to the proposal,
The central government has approved the setting up of the 8th Central Pay Commission to revise salaries for nearly 50 lakh central government employees and 65 lakh pensioners' allowances. In the discussion that will take place, the fitment factor, which determines the increase in salary and pension, holds primary importance. The central employees and pensioners are watching closely to see how much their salary and pension will increase.
The CPC's terms of reference (ToR) are a key focus, expected to be finalized by April 2025. The National Council - Joint Consultative Mechanism (NC-JCM) has already submitted the proposed ToR for the Commission.
NC-JCM Secretary Shiv Gopal Mishra, in a recent conversation with a TV channel, suggested that employees receive fair pay in the light of inflation, with a fitment factor of at least 2.57 or more. Given the sharp rise in inflation in the modern era, he thinks the government shouldn't maintain the fitment factor below 2.57.
Mishra stated that NC-JCM demands a 2.86 fitting factor. In the event that the government grants this request, the minimum salary may rise from Rs 18,000 to Rs 51,480. Pensions may potentially be increased from Rs 9,000 to Rs 36,000 in the future.
Reforms to the Modified Assured Career Progression (MACP) scheme have been proposed. If the government agrees to this proposal, an employee may receive at least five promotions during their service period.
Central employees are demanding the inclusion of Dearness Allowance (DA) in Basic Pay, as well as interim relief until the new Pay Commission is put into place.
Mishra suggests that the 8th Pay Commission should set minimum salaries based on the consumption need of "five units" instead of three. According to him, earning workers must also care for dependent parents, as this is an ethical and legal responsibility under the Maintenance and Welfare of Parents and Senior Citizens Act 2022.