The confusion that swept through the nearly 70 lakh central pensioners about the 8th Pay Commission (8th CPC) is largely over.
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The fear was real: the commission’s Terms of Reference (ToR) didn’t explicitly mention pension revision like the 7th CPC did. That omission happened. And then the massive union protests and parliamentary questions followed.
The Official Clarification
The Finance Ministry has formally set the record straight in the Rajya Sabha (Parliament).
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The Mandate is Confirmed: Minister of State for Finance Pankaj Chaudhary stated unequivocally: “The Eighth CPC will make its recommendations on the various issues including Pay, Allowances, Pension, etc. of the central government employees.”
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What this means: The pension revision for existing retirees is included in the 8th CPC’s mandate. The absence of the specific, clear language from the 7th CPC’s ToR was an oversight or ambiguity, not a structural policy shift to leave pensioners out.
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Trust Reaffirmed: This confirmation secures the established principle of parity, which ensures older pensioners’ incomes are periodically adjusted to match serving employees.
The Remaining Sticking Point: DA Merger
Even with the pension issue settled, one major demand remains off the table:
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DA/DR Merger: The government’s stance is unchanged. The Minister also clarified that “No proposal regarding merger of the existing Dearness Allowance with the Basic Pay is under consideration at present.”
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This means employees will have to wait for the 8th CPC’s full report (expected late 2027) before any accumulated Dearness Allowance/Relief (DA/DR) is merged with their basic pay.
The core story now is relief for the retirees, even as the push for the DA merger continues.
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