8th Pay Commission : The central government has not yet made any major announcement regarding the appointment of key members and finalization of the terms of reference (TOR) to revise the salaries and other benefits of more than one crore central employees and pensioners. Now all eyes are on the official announcement of the members of the 8th Pay Commission and its ToR.
Let us tell you that ever since the central government announced the 8th Pay Commission in January this year, there has been a lot of speculation about the possible fitment factor, which will ultimately decide the amount of increase in the salary of the employees. Since a lot has been said about the possible salary and pension of the employees, today we are telling you about the possible changes in the allowances under the 8th Pay Commission. Let’s know in detail…
Proposal to restructure major allowances
The 34th SCOVA (Standing Committee of Voluntary Agencies) indicated that like previous commissions, the 8th Pay Commission will propose restructuring not only salaries but also major allowances. This meeting was held in March this year. Major changes are being prepared in the main allowances. These allowances include major allowances like HRA (House Rent Allowance), Travel Allowance, Dearness Allowance (DA) and Medical Allowance.
Fixed medical allowance may increase to Rs 3,000
In the 34th meeting of SCOVA held on March 11, 2025 at Vigyan Bhawan, New Delhi, a proposal was passed to increase the Fixed Medical Allowance (FMA) for pensioners from the existing Rs.1,000 to Rs.3,000 per month.
Why the increase is necessary
The amount of Rs 1,000 currently being given is considered to be quite inadequate in comparison to today’s inflation and rising medical expenses. Many pensioners had appealed to the government to increase it.
When will the 8th pay commission be implemented
This hike is likely to come into effect from January 1, 2026, as it has been recommended to be included in the Terms of Reference (ToR) of the 8th Pay Commission. This means that it will no longer be just a suggestion but will become part of the official review.
Increase in fitment factor
In the previous commission, the fitment factor was 2.57 times, which fixed the minimum wage at Rs 18,000. Now there are reports that the government is considering increasing it from 2.8 to 3.0 times. If this happens, the minimum wage can reach Rs 26,000 to Rs 27,000 and the pension can also increase from the current Rs 9,000 to around Rs 25,000. However, this has not been officially confirmed yet.
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