Central Employees Hit the Jackpot, Arrears will be Paid Accordingly, Confusion Cleared Up – Times Bull

By Samira Vishwas On Feb 18, 2026

8th Pay Commission Arrears: Millions of central employees and pensioners across the country are eagerly awaiting the implementation of the 8th Pay Commission. If the 8th Pay Commission is implemented, it will change the fortunes of millions of employees and pensioners. This raises the question: if the 8th Pay Commission is implemented in 2027, effective from 2026, then the arrears for employees and pensioners will run into millions. The question now arises as to how much benefit employees at which level will receive and how the arrears will be calculated.

Last year, on November 3rd, Union Minister of State for Finance, Pankaj Chaudhary, issued a notification for the formation of the 8th Pay Commission through a resolution. Following this, the Commission formally came into existence. This Commission was formed 10 years after the 7th Pay Commission. The implementation of this Commission will impact millions of employees, the Defense Minister, service officers, and pensioners across the country.

When will this commission be implemented?

According to media reports, this commission is expected to come into effect from January 1, 2026. However, it could be officially implemented in 2027. If this happens, millions of employees could receive arrears of 12 to 15 months, and in case of delay, 15 to 20 months. This means that the full difference between the old and new salaries will be paid at once by the date of implementation.

Learn how much the fitment factor will be

According to reports, it is being said that the fitment factor in the 8th Pay Commission could be fixed at around 2.57. This could result in a salary increase of 30 to 50 percent. Consequently, Level 1 employees could receive arrears of approximately ₹3.60 lakh to ₹5.65 lakh. Level 2 employees could receive arrears ranging from ₹3.98 lakh to ₹6.25 lakh. After this, Level-4 employees may receive arrears ranging from ₹5.10 lakh to ₹8.01 lakh. This calculation is likely. Now, it remains to be seen what the government decides.

How will the arrears be calculated?

The calculation of arrears is quite simple. First, the difference between the old basic salary and the new basic salary is calculated. The difference is then calculated for the months in which the increase is applicable. The impact of DA is also added to the arrears. DA is based on the basic salary. Therefore, an increase in the basic salary will also increase the DA amount. Thus, the arrears will include not only the difference in salary but also the additional benefit of DA.