New Delhi. There seems to be hope of big relief for central employees. The tenure of the 7th Pay Commission is ending on 31st December 2025 and after this, the chances of implementation of the 8th Pay Commission from 1st January 2026 have increased. Due to this, discussions are going on among the employees regarding salary increase and arrears. Experts believe that the new pay commission will not only bring a good increase in the basic salary but will also provide relief to the employees who have been struggling with the pressure of inflation for a long time.
How much can the salary increase?
Based on the trends of previous pay commissions and experts’ assessments, the total pay increase in the 8th Pay Commission could be 20 to 35 percent. The fitment factor is expected to be between 2.4 to 3.0. If this happens, the minimum basic salary may increase from the current Rs 18,000 to around Rs 34,560 to Rs 51,480.
When will the salary come to the account?
Although the Pay Commission will be considered effective from January 1, 2026, history shows that time takes time between implementation of the recommendations and actual payments. According to experts, employees may have to wait till 2027 to get increased salary and arrears. The good thing is that when the payment is made, there will be a possibility of getting the arrears applicable from January 1, 2026 in the account in lump sum.
Government expedited the process
The government has also taken steps in this direction. The Finance Ministry has notified the Terms of Reference (ToR) for the 8th Pay Commission in November 2025. The commission has been given about 18 months to submit its report, meaning final recommendations are expected by mid-2027.
Important advice for employees
Experts say that the benefit of revision in basic pay will be available with the arrears, but HRA and some other allowances are not applicable retrospectively. In such a situation, if there is a delay, the employees may have to suffer some loss in terms of allowances. Therefore, it is important to keep this aspect in mind while making financial plans.
Overall, a period of expectations has begun for the central employees regarding the 8th Pay Commission. If the projections prove to be correct, we may see a significant increase in the salaries of employees in the coming times.
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