No proposal to set up 8th Central Pay commission for central government employees

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No proposal to set up 8th Central Pay commission for central government employees

The government, responding to a question at the Lok Sabha, said there was no proposal to set up the 8th Central Pay Commission.

When asked whether the government proposes to create a 8th Central Pay Commission for central government employees to be implemented on January 1, 2026, Minister of State in the Ministry of Finance Pankaj Chaudhary said no such proposal is being considered by the Government for the constitution of the 8th Central Pay Commission for Central Government employees. The ministry didn't give any more details or reasons why it wasn't considering a proposal right now.

In order to compensate central government employees for erosion in the real value of their salaries, Dearness Allowances DA is paid to them and the rate of inflation is revised periodically every 6 months as per All India Consumer Price Index for Industrial Workers AICPI-IW released by Labour Bureau under M o Labour Employment. The Union Cabinet, in March, had decided to increase Dearness Allowance for central government employees by 3 per cent, effective January 1, 2022. The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, has approved releasing an additional installment of Dearness Allowance DA to Central Government employees and Dearness Relief DR to pensioners w.e. The government has raised the DA and DR for central government employees to 28 per cent from 17 per cent in July 2021, which is an increase of 3 per cent over the existing rate of 31 per cent of the Basic Pay Pension, to compensate for price rise. In October of the previous year, the central government employees saw a jump of 3 per cent in DA.