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8th Pay Commission: Big update on salary increase, know which issues will be discussed in the meeting on 7th and 10th August?

July 25, 2026 by Uma Shankar

These days, about one crore central government employees and pensioners of the country are eagerly waiting for the 8th Pay Commission. The Pay Commission has now reached its most important stage, where there is continuous discussion about possible changes in the salary, allowances and pension of the employees. In this series, the Commission has scheduled important meetings with employee organizations and unions in Delhi on 7th August and 10th August 2026.

According to the notice issued on July 23, 2026, these meetings are part of the process of taking suggestions from stakeholders. The Commission will discuss the demands and suggestions of employee organizations in detail before preparing the final report. In such a situation, these meetings are being considered very important for the government employees.

These three issues can be discussed the most

1. Basic Pay and Fitment Factor

The most important part of the salary of any government employee is his basic pay. On this basis, PF, gratuity, pension and many other allowances are calculated. Fitment factor is used to convert the old basic salary into the new salary. This time the National Council-Joint Consultative Machinery (NC-JCM) has demanded implementation of 3.83 fitment factor. Whereas All India NPS Employees Federation (AINPSEF) has suggested increasing the family dependency unit from 3 to 4.4. If this proposal is approved then the basic salary of the employees may see a greater increase than before.

2. There may be changes in DA, HRA and TA

After the new basic salary is decided, all the major allowances will also be recalculated on its basis. Regarding HRA, AINPSEF has suggested that HRA should be increased to 36% in X category cities, 24% in Y category and 12% in Z category. Apart from this, the organization has also demanded that if Dearness Allowance (DA) increases, HRA should also automatically increase. In case of TA, it has been recommended to increase the minimum traveling allowance for Level-1 employees to Rs 9,000 per month. If this proposal is accepted then lower level employees can get big benefits.

3. There may be a big jump in gross salary

The total gross salary of the employee is decided by adding the basic pay and all the allowances. Experts believe that if most of the proposals given by the employee organizations are approved, then the monthly salary of Level-1 employees can increase from around Rs 37,080 to Rs 61,344. This means that employees can get the benefit of salary increase up to about 65 percent. However, the final decision will be taken only after the approval of the government.

When can the new pay commission be implemented?

The Central Government constituted the 8th Pay Commission on 3 November 2025. The commission has been given 18 months to prepare its report. In such a situation, it is expected that the commission can submit its final report to the government between February 2027 and mid-2027. If we look at the experience of previous pay commissions, after the report comes, it takes about 2 to 3 years for the government to implement it. However, there is hope among the employees that the new recommendations will be considered effective from January 1, 2026 and the outstanding amount can also be given. At present, the eyes of all government employees and pensioners are fixed on the meetings to be held on 7th and 10th August.

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About Uma Shankar

Uma Shankar writes about finance, business, and investment topics. He simplifies complex subjects like stock market, banking, tax, and cryptocurrency to help readers make informed financial decisions. Data-driven reporting is his strength.

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