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8th Pay Commission : The Eighth Pay Commission for central government employees and pensioners will submit its report within 18 months. The government has appointed the chairman and members of the 8th Pay Commission. This commission will work on changes to the pay structure, fitment factor, and allowances for central government employees.
8th Pay Commission latest Update: The 8th Pay Commission for central government employees and pensioners will submit its report within 18 months. The government has appointed the chairman and members of the 8th Pay Commission. This commission will work on changes to the pay structure, fitment factor, and allowances for central government employees. According to reports, dearness allowance (DA) may be reduced to zero under the 8th Pay Commission. Currently, central government employees receive 58% DA of their basic salary.
Changes in allowances in the 8th Pay Commission
The 8th Pay Commission will have the biggest impact on dearness allowance (DA). Reports suggest that DA may be zero under the 8th Pay Commission. It is expected that upon implementation of the new Pay Commission’s recommendations, the existing DA will be merged with the basic salary. After this, DA calculations will start from zero. The government currently increases DA twice a year, and this trend will continue. Currently, the government increases DA by an average of 7 to 8% annually.
When will the new pay commission be implemented?
The 8th Pay Commission has been asked to submit its report within 18 months. This means that the new pay commission is expected to be implemented by early 2027. According to experts, dearness allowance will be reduced to zero under the 8th Pay Commission.
What is the fitment factor?
The fitment factor is the multiplier used to multiply the basic pay of the previous pay commission to obtain the new basic pay. For example, in the 7th Pay Commission, the fitment factor was set at 2.57. This means that if an employee’s basic pay was ₹35,000, the new basic pay would be ₹35,000 × 2.57 = ₹89,950. Now, in the 8th Pay Commission, this fitment factor is expected to be between 2.0 and 2.5.
How will salary be calculated?
The new salary structure is determined by multiplying the fitment factor by the basic pay of the previous Pay Commission. For example, if an employee’s basic pay is ₹35,000 and the new fitment factor is 2.11, the new basic pay will be ₹35,000 × 2.11 = ₹73,850.
What will be the salary if a 2.0 fitment factor is applied?
If an employee’s current basic pay is ₹50,000 and the new fitment factor is 2.0, the new salary will be ₹50,000 × 2.0 = ₹100,000. Allowances such as house rent allowance and dearness allowance will also be added to this. Additionally, allowances such as HRA (House Rent Allowance) and DA (Dearness Allowance) also increase based on the basic pay. It should be noted that there are 18 pay levels for central government employees.
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