8th Central Pay Commission
Context
The Union Cabinet has approved the Terms of Reference (ToR) of the 8th Central Pay Commission (CPC).
The government had announced the formation of the 8th CPC in January 2025 to examine and recommend changes in the salaries and other benefits of Central government employees.
About the Central Pay Commission
Central Pay Commissions are periodically constituted to go into various issues of emoluments structure, retirement benefits and other service conditions of Central Government employees and to make recommendations on the changes required
The recommendations are implemented after a gap of every ten years.
The recommendations of the 8th CPC are expected to be effective from 01.01.2026.
8th CPC Composition and Status
The Commission will be chaired by Justice Ranjana Prakash Desai (Rtd).
It will comprise one chairperson, one part-time member (Professor Pulak Ghosh), and one member-secretary (Petroleum Secretary Pankaj Jain)
The 8th Central Pay Commission will be a temporary body
It will make its recommendations within 18 months of the date of its constitution
Terms of Reference (ToR)
The Commission will keep the following factors in view while making recommendations
The economic conditions in the country and the need for fiscal prudence
Ensuring adequate resources are available for developmental expenditure and welfare measures
The unfunded cost of non-contributory pension schemes
The likely impact of the recommendations on the finances of the State Governments
The prevailing emolument structure and benefits in Central Public Sector Undertakings and private sector (CPSE’s).