New Delhi. The central government has given a good news for central employees and pensioners. After a long discussion and concern, the Finance Ministry has made it clear that the recommendations of the 8th Pay Commission will include not only salary but also pension revision. This announcement was made by Minister of State for Finance Pankaj Chaudhary in the Rajya Sabha, which has provided relief to lakhs of pensioners.
Pensioners and employee organizations had been demanding from the government for a long time that pension should be clearly mentioned in the Terms of Reference (ToR). Now the government has clarified the situation in this matter. In response to a question asked in the Rajya Sabha, Pankaj Chaudhary said that the work of the Eighth Pay Commission is to give recommendations on salary, allowances and pension.
The biggest question among the employees was whether DA (Dearness Allowance) would be added to the basic salary. On this, the Minister of State for Finance clarified that at present there is no proposal from the government. However, the unions have always been demanding that when DA crosses 50%, it should be included in the basic.
Constitution and procedure of 8th Pay Commission:
The government officially constituted the 8th Pay Commission on 3 November 2025. Chairman and members have been appointed. Terms of Reference (ToR) have been issued. The Pay Commission will prepare a report on major changes in the pay structure, allowances, pension and related systems on the basis of these ToR.
According to experts, this move will bring long-awaited relief to central employees and pensioners. Revision of pension and improvement in allowances will not only benefit the current employees but will also strengthen the financial position of retired pensioners.
The government has also clarified that a detailed review and suggestion process will be completed on all proposals before the changes are implemented. This means that employees and pensioners will get the direct benefits of improvements in salary and pension in the coming times.
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