Proposed Salary Hike for Central Government Employees Ahead of 8th Pay Commission

The National Council–Joint Consultative Machinery has proposed a substantial salary increase for Central government employees, suggesting a fitment factor of 3.833 to raise the minimum pay significantly. This proposal, which includes various benefits and increments, aims to impact millions of employees and pensioners. The recommendations are set to be reviewed by the 8th Pay Commission, expected to finalize its work by November 2025. The outcome of this proposal could reshape the financial landscape for government workers, making it a topic of great interest.

By Narendra Chaudhary Apr 16, 2026, 16:51 IST

Significant Pay Increase Suggested

Photo: IANS

New Delhi, April 16: The National Council–Joint Consultative Machinery (NC-JCM) has put forward a substantial proposal for increasing the minimum salary of Central government employees in its memorandum to the 8th Pay Commission. This includes a month's salary as gratuity along with additional benefits.

The NC-JCM, which serves as the primary communication channel between the Central government and its workforce, has suggested a fitment factor of 3.833. This would elevate the minimum basic salary from Rs 18,000, established under the 7th Pay Commission, to Rs 69,000, according to reports from a media outlet.

A fitment factor is a multiplier used to adjust salaries based on various factors such as inflation and cost of living, which is then applied to the existing basic pay to determine the new salary in a pay commission.

Additionally, the NC-JCM has recommended a 6% annual increment, two increments upon promotion, with a minimum benefit of Rs 10,000, among other proposals.

These adjustments proposed by the new Pay Commission would impact over 5 million central employees and approximately 6.5 million pensioners.

The application of the fitment factor ensures a consistent salary increase across different levels. For example, under the 7th Pay Commission, salaries were adjusted using a fitment factor of 2.57, which raised the entry-level basic pay from Rs 7,000 under the 6th Pay Commission to Rs 18,000.

The pay matrix consists of 18 levels, with higher tiers designated for senior government officials, who also receive various allowances such as HRA, provident fund, and other benefits in addition to their basic salary.

The Federation of National Postal Organisations has urged the government to integrate the 58% dearness allowance into the basic pay and provide interim relief from the same date.

The salary increase will depend on the fitment factor chosen by the government, which analysts predict will be above 2.5. Some employee groups are advocating for a fitment factor of 3.15, although an official decision may take over a year to finalize, as reported.

In March, MoS Finance Pankaj Chaudhary informed Parliament that the 8th Pay Commission would present its recommendations regarding pay, allowances, pensions, and other benefits for central government employees. The Commission is expected to complete its work within 18 months starting from November 2025.