8th Pay Commission: Govt Update on Salary Hike for 50 Lakh Employees, Pensioners

• The 8th Central Pay Commission has commenced its work, with the government to determine the implementation date and the report expected within 18 months.
• Union Minister Pankaj Chaudhary stated the 8th Pay Commission would benefit 50.14 lakh employees and approximately 69 lakh pensioners.
• The commission will examine and recommend changes to salaries, pensions, allowances, and determine the fitment factor for central government employees.
• The government clarified there is no current proposal to merge Dearness Allowance (DA) with basic salary, despite employee union demands.
• Employee unions are advocating for the restoration of the Old Pension Scheme, pension revisions, and a 20% interim relief on current basic salary and pension.

Why It Matters: Government pay commission decisions will shape millions of employees' financial future.