8th Pay Commission: Centre responds to delay, says implementation to follow notification

The Finance Ministry has finally addressed concerns over the delay in constituting the 8th Pay Commission, clarifying that the appointment of its chairperson and members will take place only after the government formally notifies the commission.

The notification process has been held up as the ministry is still finalizing the Terms of Reference (ToR), which will serve as the framework for revising salaries and pensions for more than one crore central government employees and pensioners.

In response to questions raised in the Lok Sabha by MPs T R Balu and Anand Bhadauria, Minister of State for Finance Pankaj Chaudhary confirmed the government’s intention to set up the 8th Central Pay Commission (CPC). He informed the House that inputs are currently being sought from key stakeholders, including the Ministry of Defence, Ministry of Home Affairs, Department of Personnel & Training, and various state governments.

When pressed for a timeline on appointing the commission’s chairperson and members, Chaudhary stated that these appointments would follow the formal notification of the 8th CPC. Regarding the implementation of its recommendations, he added that this process would begin once the commission submits its proposals and the government approves them.

The 7th Pay Commission’s recommendations, which came into effect in January 2016, were part of the tradition of setting up a new pay panel every decade. Given this precedent, many had anticipated that the 8th Pay Commission would be appointed by 2024-25, allowing its recommendations to be implemented from 2026.

With inflation and the rising cost of living placing additional financial strain on government employees, there has been a growing demand for salary revisions. The upcoming commission is expected to address not just salaries, but also pensions, allowances, and the minimum wage, making its recommendations highly anticipated.