8th Pay Commission: Understanding Fitment Factor, DA Merger, and Expected Salary Increase:

Suspense Crime,Digital Desk: 8th Pay Commission: Central government employees and pensioners are waiting for the 8th Pay Commission with eager anticipation. The government also seems to have started work towards it as the formation of the panel is under consideration. It is speculated that the center is thinking about the increase in salary and the fitment factor. This time there are also discussions that while deciding the fitment factor, the current dearness allowance (DA) may be considered and possibly merged with the basic pay. Let us understand what is the fitment factor and what is the real mathematics of salary increase.

What does the term “fitment factor” mean?

The term fitment factor denotes a multiplier that is used when calculating new salary grades. It is a multiplier that governs the new basic salary for the department considering the pay commission in the two new pc’s is done keeping the basic at multiplier….pay raise due to additional allowances and bonuses pre included (which was DA) and substantial award. For instance, let us consider that under the 7th Pay Commission, the fitment factor was 2.57 which means that for new basic pay of the 7th Pay Commission, ratio of new basic pay = basic pay (pay in pay band + grade pay) under 6th pay commission×2.57.

What does Merger of Dearness Allowance mean?

Thus, in most occasions when a new pay commission is activated, all the dearness allowance (DA) amount received by the personnel pays is summed embodying all the previously assumed freely conveyed dearness allowance spinal column in there as a single lower cut-off.” Combined together as a unit referring it as monolithic amalgamation. After which claimed flag bearer of shabby desk called.What did the 7th Pay Commission do in its session? Upon implementation of the 7th Pay Commission on 1 January 2016, the DA had reached a level of 125%. This amount of DA was absorbed into the pre-existing basic pay, which underwent a revise as per a fitment factor of 2.57 for basic pay calculation.

Expectations of the 8th Pay Commission from 8th Pay Commission are fairly straightforward.

DA merger: It will probably happen that any DA (likely over 60%) available on January 1, 2026, when the 8th Pay Commission is slated to be implemented, will be compounded into the basic pay portion.

Fitment factor: Unionized employees are pushing for a greatly elevated fitment factor of 3.68 as opposed to the 2.57 fitment factor in the 7th Pay Commission. It is likely that the government will decide the rate based on the recommendations of the commission, but it is quite likely that the value will exceed 2.57.

What is the best way to compute your new salary?

Instead of “Basic + DA = Fitment Factor”, social media needs to focus on the right approach:

Determination of New Basic Pay

New Basic Pay = Existing (7 th Pay Commission) Basic Pay X 8 th Pay Commission Fitment Factor

This fitment factor will in turn include merger of DA and the actual increment.

If your current Basic Pay (Level 1) is ₹18,000,

And let’s say the 8 th Pay Commission fitment factor is pegged at 3.0 (this is for example, actual figure might differ)

8 th Fitment Pay shall now give Basic pay of: ₹18,000 x 3.0= ₹54,000 (for illustrative purposes, this value would need validation).

(Note: This marks the new basic salary which will attract DA & HRA etc. This ₹54,000 also includes DA till 1st January 2026 and actual increment).

Correct Calculation Avoidance

Many types of calculations have been running amuck in the media too. For example, Basic + DA = Sub Total, then 18% rise, and then New Salary/Old Basic = Fitment Factor 1.90). This does not show the correct way to calculate the fitment factor. The fitment factor is first determined (as per preset recommendations) and then applied onto the old basic, not from some assumed salary estimate. A very low factor like 1.90 does not fit the previous pattern.