
The Union Cabinet has approved the formation of the 8th Pay Commission, a major move aimed at revising the salaries of over 49 lakh central government employees and allowances for nearly 65 lakh pensioners. The decision was announced following a Cabinet meeting chaired by Prime Minister Narendra Modi, who emphasised its role in improving quality of life and boosting consumption.
Union Minister Ashwini Vaishnaw confirmed that the chairman and two members of the commission will be appointed soon, with consultations planned across central and state governments as well as other stakeholders.

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The 8th Pay Commission follows the 7th, which was established in 2016 and raised the minimum basic pay from ₹7,000 to ₹18,000, alongside a fitment factor of 2.57. As per the Prime Minister, this latest move underscores the government’s commitment to recognizing the contributions of its employees and fostering economic growth.

Central government employees, excluding those in public sector undertakings (PSUs) and autonomous bodies, fall under the remit of the pay commission. The new recommendations will impact salaries, pensions, and allowances, offering a renewed financial framework for the workforce.

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