Government employees excited as DA hike reaches 58%, but uncertainty still looms over…
The commission, which is expected to review its salaries and pensions, will have a significant impact on the 1.2 Crore central government employees and retirees.
The government’s announcement on the establishment of the 8th Wage Commission is eagerly awaited by millions of central government employees and retirees. Despite the approval of the 8th wage commission constitution in January 2025 in January 2025, the process was slow and uncertain about its future benefits. The commission, which is expected to review its salaries and pensions, will have a significant impact on the 1.2 Crore central government employees and retirees.
8. The Chairman of the Fee Commission was not appointed and the reference conditions (TOR) were not concluded.
8. Delay in the formation of the fee commission
The 8th Wage Commission is expected to enter into force as of January 1, 2026. However, the delay in concluding the reference conditions (TOR) and the appointment of president and commission members expressed concerns about the feasibility of this timeline. Tor is an important component that determines the salary structure, allowances and retirement advantages that will be subject to the proposals of the Commission. Without a terminated Tor, the commission cannot formally establish and work.
7. Comparison with Fee Commission
The 7th Fee Commission was announced in September 2013 and the President and Tor were informed in February 2014. On the other hand, the 8th Wage Commission’s TOR is still waiting and the government did not officially announce the appointment of the president and other members of the commission. This delay indicates a potential delay in the formation of the 8th Wage Commission.
Its impact on central government employees and retirees
The 8th Wage Commission shall review the pensions, allowances and salaries of 1.2 CRORE central government employees and retirees. This includes approximately 65 Lakh Central Governments, including about 50 Lakh central government employees and defense pensioners, including defense personnel. The proposals of the Commission will also review the love allowance according to inflation and provide a great need for the purchasing power of employees and retirees.
8. Fee Commission: Expectations
In a recent development, the Union Cabinet has approved a 3% increase in love allowance and love relief for the central government employees and retirees that have been valid since July 1, 2025. Although this movement will provide some relief, the delay in the formation of the 8th Wage Commission has increased concerns about the future benefits of employees and pensioners. According to media reports, government employees may need to wait until 2028 to fully implement the payment commission, considering the time schedule of previous commissions and the time required for implementation.
8. Basic aspects of the fee commission
The 8th Wage Commission is expected to make significant changes in the salary structure of central government employees. Some of the basic aspects of the commission can focus on the merging of wage scales, reviewing swap factors, and integration of beloved allowance with basic wages. These changes aim to simplify salary calculations, to provide better financial stability and to increase the purchase power for employees and retirees.
