New Delhi. Discussions regarding the possible 8th Pay Commission have intensified among central employees. Fitment factor plays the most important role in determining salary. The 7th Central Pay Commission, implemented in 2016, had fixed the fitment factor of 2.57, after which the minimum wage was increased from ₹7,000 to ₹18,000. Now different estimates are coming out regarding the new fitment factor in the upcoming 8th Central Pay Commission.
How does the fitment factor work?
The simple formula for determining the new basic salary is-
New Basic Salary = Existing Basic Pay × Fitment Factor.
That is, the higher the fitment factor, the higher the salary increase.
Discussion on three possible figures
Currently, fitment factors of 1.92, 2.08 and 2.86 are being discussed in media reports. If the factor of 1.92 is applied then the new salary of an employee getting ₹ 19,900 basic can be around ₹ 38,208. According to 2.08, this salary can reach around ₹ 41,392. In case of implementation of 2.86, it can increase to approximately ₹ 56,914.
Similarly, for an employee getting a basic salary of ₹ 29,200, the salary is estimated to be around ₹ 56,064 at a factor of 1.92, around ₹ 60,736 at a factor of 2.08 and around ₹ 83,512 at a factor of 2.86. Although this is only a tentative calculation, the final decision will be taken keeping in mind the economic condition and financial balance of the government.
Awaiting final decision
At present no official announcement has been made yet. But it is certain that the fitment factor will become the main basis of salary increase. Lakhs of central employees are now eyeing the final decision of the government, which will directly affect their income and future economic plans.
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