8th Pay Commission could boost salaries by Rs 19,000

The 8th Pay Commission might increase salaries for Central government employees by Rs 14,000 to Rs 19,000 per month. This report comes from Goldman Sachs, which says that around 50 lakh government workers and 65 lakh pensioners will benefit from these changes. The commission is expected to be set up in April. Its recommendations could be put into place by 2026 or 2027. Goldman Sachs analyzed possible scenarios for these salary hikes. Currently, the average monthly salary for central government employees is Rs 1 lakh before tax. If the government allocates Rs 1.75 lakh crore for the commission, and half is spent on salary increases, the average salary could rise to Rs 1,14,600. With a budget of Rs 2 lakh crore, that could go up to Rs 1,16,700. If the amount is Rs 2.25 lakh crore, the average could reach Rs 1,18,800. The earlier 7th Pay Commission in 2016 cost the government Rs 1.02 lakh crore. Its revisions were applied retroactively from January 2016 but were officially rolled out in July 2016, affecting the financial year 2016-17. When the 8th Pay Commission begins its work, it will consult various groups about salary and pension adjustments. Employee unions have indicated they may push for a higher fitment factor, similar to what was recommended in the previous commission.