8th Pay Commission: Latest updates on fitment factor, expected minimum basic salary to rise from 92% to 283%
Suspense Crime, Digital Desk : The Eighth Pay Commission received a fresh update on the fitment factor which is with respect to a rise in minimum basic salary. 8th Pay Commission: For the past few days there has been a lot of talk regarding the Eighth Pay Commission. After series of meetings employee organizations are asked for their demands, and the last date was until 31st May. Recently however, it has again been extended. Employees can now present their demands, memorandums and proposals until June 15, 2026.
Update on the Fitment Factor:
Currently, Fitment Factor is on everyone's lips as it is one such parameter on the basis of which employees are paid new basic salaries. A fitment factor is a multiplication element used to convert the present basic salary into a new basic salary.
Demands of 8th Pay Commission:
Although there is no official Fitment Factor that has been declared by the government regarding the 8th Pay Commission, several proposals with Fitment Factors from 1.92 to 3.83 have been put forward by the employee organizations, pensioner groups and various experts. High hopes of the employees are clear but the government also has to bear the financial burden.
National Council of Joint Consultative Machinery (JCM) employee side has placed a proposal of 3.83 fitment factor (one of the highest) with the government. The National Pensioners Organisation (NPO) has recommended a fitment factor of 3.25, Indian Trade Union Congress (ITUC) has suggested 3.00.
Various employee organizations in Jammu and Kashmir have sought fitment factors between 2.86 to 3.68.
However former Finance Secretary Subhash Chandra Garg estimates that the government will finally approve the fitment factor of 1.92.
This goes to say that presently, different parties have varied demands and only after government and the 8th Pay Commission put forth their recommendations will the final amount be decided.
Let's find out if the organizations' proposals are accepted, by how much will the salary of employees earning the minimum salary of Rs. 18,000 increase.
Fitment Factor
Proposed new basic salary
1.92
Rs 34,560
2.57
Rs 46,260
3.00
Rs 54,000
3.25
Rs 58,500
3.83
Rs 68,940
This is clear that the minimum basic salary can rise by 92% to 283% which also means that Pay Matrix and Allowances will also see a change. 8th Pay Commission might introduce a new structure by replacing the current pay matrix with the same with all pay levels getting an increase of equal pay.
When will 8th Pay Commission come into effect?
The 8th Pay Commission was announced by the Central government on 17th January 2025 and was decided to come into effect on 1st January 2026, but the commission is supposed to give its report within a period of 18 months, so we expect the report in mid-2027 after which with approval from the Union Cabinet the pay hike can be seen in mid-2027 or by the beginning of 2028.
