There is a lot of curiosity among central employees and pensioners about the 8th Pay Commission. The 8th Pay Commission is not only expected to increase their basic salary, but major changes can also be seen in many major benefits like HRA, travel allowance and children’s education allowance. The special thing is that the key to all these amendments is in the hands of only one factor – ‘Fitment Factor’. This will decide how much the salary structure will increase and in what form the employee class will get its actual benefit.
The fitment factor will play the most important role in determining salary under the 8th Pay Commission. According to reports, this time a fitment factor of 2.08 may be applicable, whereas last time in the 7th Pay Commission it was 2.57 and in the 6th Pay Commission it was 1.86. If the factor of 2.08 is applied, then the central government employees will see a good increase in their basic salary as well as allowances.
How much is the salary hike?
In case the fitment factor 2.08 is applied, the salary of employees of different grades may increase in the following manner:
- Level-2 (Grade Pay 1900): Salary can rise to around ₹52,555.
- Level-4 (Grade Pay 2400): Salary can be around ₹75,762.
- Level-5 (Grade Pay 2800): Salary can go up to around ₹96,301.
- Level-6 (Grade Pay 4200): Salary can reach up to around ₹94,883.
- Level-8 (Grade Pay 4800): Salary may increase to ₹1,13,190.
- Level-9 (Grade Pay 5400): Salary can be up to ₹1,46,583.
How does the Pay Commission work?
The Pay Commission consists of experienced experts, senior economists, retired judges and representatives of trade unions. They prepare a report after talking to all the parties, which is presented to the government. The final decision rests with the government, which is implemented on the basis of the recommendations of the Pay Commission.
