There is good news for those doing government jobs! The government has decided to form the 8th Pay Commission from January 16, 2025, but the commission has not been formed yet. Still, there is only one question in everyone’s mind – how much will our salary increase after the recommendations of the new pay commission?
The sure answer to this question will be found only when the commission is formed and its recommendations are implemented. But some estimates can be made! Based on the recommendations of the previous pay commission (7th Pay Commission) and the estimated fitment factor, we can make an average estimate of how much the salary of government employees can increase. Let us first understand what this fitment factor is.
What is the fitment factor?
The fitment factor is a multiplier used to decide the salary and pension of government employees. It helps in converting the old basic salary into the new pay scale. The fitment factor in the 7th Pay Commission was 2.57, which increased the total salary of employees by about 23-25%. It is estimated that the fitment factor in the 8th Pay Commission can be from 2.28 to 2.86.
How much will the salary increase in the 8th Pay Commission?
Everyone wants to know how much their salary and pension will increase with the new Pay Commission. As we said, the definite answer will come only after the recommendations of the commission, but an estimate can be made according to past trends.
Calculation of possible increase in salary
If the fitment factor of 2.86 is applied in the recommendations of the 8th Pay Commission, then the minimum basic salary can increase from Rs 18,000 to Rs 51,480. But, if the fitment factor remains 2.28, then the minimum basic salary will be Rs 41,040. Apart from the basic salary, the total salary also includes allowances such as dearness allowance (DA), house rent allowance (HRA), and travel allowance (TA). However, the hike is calculated based on basic salary only. Therefore, if the fitment factor of 2.86 is approved, the total salary of government employees is expected to increase by about 25-30%.
How much was the salary increased in previous pay commissions?
The fitment factor of 2.57 was used in the recommendations of the 7th Pay Commission, which came into effect from January 1, 2016. Due to this, the minimum basic salary of central government employees increased from Rs 7,000 to Rs 18,000, and their total salary increased by 23-25%. If we look at the previous pay commissions, the fitment factor during the 6th Pay Commission (from 2006 to 2016) was 1.86.