Overview
- The Finance Ministry informed the Lok Sabha that the 8th Central Pay Commission was constituted with Terms of Reference notified on November 3, 2025, and it has 18 months to submit recommendations.
- Pankaj Chaudhary said about 50.14 lakh central employees and roughly 69 lakh pensioners are covered by the upcoming pay and pension review.
- The Centre declined to confirm a start date for revised pay and pensions and said budgetary provisions will follow only after recommendations are accepted.
- The commission will examine pay, allowances, pensions, gratuity and bonuses across a wide set of central services, will devise its own methodology, and may issue interim reports.
- The government said there is no proposal to merge DA/DR with basic pay, while an EAC-PM member separately estimated a potential FY28 payout of about Rs 4 lakh crore with arrears possibly lifting the burden to near Rs 9 lakh crore.