Millions of government workers just got big news. The Union Cabinet has made a decision that affects 50 lakh central employees. On October 28, 2025, they approved the terms for the 8th Pay Commission.
What This Means For Government Workers
This move starts the process for salary changes. About 50 lakh central government employees will see their pay change. Another 69 lakh pensioners will get revised benefits too.
Union Minister Ashwini Vaishnaw shared details at a press conference. “We’ve moved quickly since January’s approval,” he said. “Many ministries helped shape this decision.”
Who Will Lead The Changes
The commission has three key people:
- Justice Ranjana Prakash Desai (Chairperson)
- Prof. Pulak Ghosh from IIM Bangalore (Part-time member)
- Pankaj Jain (Member-Secretary)
They have 18 months to finish their work. The new pay rules should start on January 1, 2026.
Why This Matters Now
The government last changed pay scales in 2016 with the 7th Pay Commission. Pay commissions come every 10 years. This one arrives right on schedule.
| Pay Commission | Year Implemented | Salary Increase |
|---|---|---|
| 7th | 2016 | 23.55% |
| 6th | 2006 | 20% |
| 5th | 1996 | 31% |
Key Factors Being Considered
The commission must balance several important needs:
- India’s current economic health
- Keeping government spending under control
- Funding for development projects
- Pension costs without employee contributions
- Impact on state government finances
As reported by The Hindu, the commission may issue interim reports if needed.
When Will Changes Happen?
While the commission starts work now, employees might wait longer. Some reports suggest full implementation could take until 2028. The Financial Express explains the approval process takes time after recommendations come.
What Employees Can Expect
Past pay commissions brought significant changes:
- Basic pay increases
- Revised allowance structures
- New retirement benefits
- Changed promotion rules
The Times of India reports employees hope for higher fitment factors this time.
State Governments Involved Too
Minister Vaishnaw noted that states participated in talks. Most cooperated with the planning process. This matters because state employees often follow central pay scales.
The government consulted key ministries with many employees:
- Defence
- Home Affairs
- Railways
- Personnel Department
Pension Changes Coming
About 69 lakh pensioners will see changes too. The commission will review:
- Monthly pension amounts
- Medical benefits
- Other retirement perks
As per Hindustan Times, pension updates usually match salary revisions.
What Happens Next
The commission team will now:
- Study current pay structures
- Compare with private sector salaries
- Review economic data
- Hold meetings with employee groups
Employees should watch for updates in coming months. While changes won’t happen overnight, the process has officially begun.
As the Indian Express reports, the government aims for smooth implementation when the time comes.
