There have been several rumours about the 8th Pay Commission that the government ponders over alternative measures of setting up the 8th Pay Commission.
The 8th Pay Commission is expected to revise salaries and pensions for around 48 to 50 lakh central government employees and over 60 lakh pensioners. Its recommendations, when finalized, are anticipated to be effective from January 1, 2026. However, formal constitution and clearance of its terms of reference have been delayed, raising questions about its timely implementation.
Recent rumours suggest that the government might not set up the 8th Pay Commission. Statements from the Ministry of Finance indicate no proposal is currently under consideration to form this traditional pay panel. This has fueled speculation that the government may explore alternative methods for salary and pension revisions, possibly scrapping the pay commission system altogether.
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Despite the rumours, no official decision has confirmed abolishing the 8th Pay Commission. The government is reportedly weighing options that might include direct modification of salary structures such as basic pay hikes and changes in fitment factors. This approach could simplify the pay system and reduce the lengthy process associated with pay commissions.
One significant aspect under discussion is the rationalisation of existing allowances. Following the 7th Pay Commission’s path, many allowances may be scrapped or merged to create a less fragmented and more transparent salary structure. This could mean fewer allowances but possibly increased basic pay and revised dearness allowances.
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Employee unions continue to demand the immediate constitution of the 8th Pay Commission, emphasizing the need for an organized and systematic approach to wage and pension revisions. They warn that bypassing the formal pay panel may lead to arbitrary decisions and employee dissatisfaction.
In conclusion, while rumours of scrapping the 8th Pay Commission prevail, facts suggest the government is still pondering over various options. A mix of allowance rationalization and direct salary modifications may be on the table. No official confirmation exists on completely abolishing the commission. The eventual decision will have significant implications for millions of central government employees and pensioners who await fair, timely salary revisions from January 2026 onwards.
