The process of formation of the 8th Pay Commission is accelerating. This commission will decide which of the old allowances will be removed and which new allowances will be added. The last time 101 allowances were removed in the 7th Pay Commission, which raises the question whether this will happen this time too. Along with this commission, along with increase in salaries of employees, various allowances will also be reviewed.
7th Pay Commission’s decision and increment
The 7th Pay Commission had recommended an increase in the salary of central government employees as per the fitment factor of 2.57, which fixed the minimum salary of Rs 18,000 and maximum salary of Rs 2,25,000. The Commission reviewed a total of 196 allowances, out of which only 95 allowances were approved. The remaining 101 allowances were either removed or mixed with any other allowance.
Removed major allowances
- Accident allowance: The report was not included.
- Acting Allowance: Removed and included in the additional post allowance.
- Air Dispatch pay, coal pilot allowance, family planning allowance, overtime allowance (OTA), cycle allowance: All these were removed.
- Cloding Allowance: It was merged into the dress allowance.
- Special scientific salary: is removed.
- Sanderban allowance: Tuff location was included in the Allown-III.
In addition, many other allowances were also either removed or mixed under any other allowance.
Expectations from 8th Pay Commission
The terms of the 8th Pay Commission are expected to be finalized by April 2025. After this, the government will select the members and chairman of the commission. This new commission may take about a year to prepare their report after consulting various stakeholders, including representatives of central government employees.
Main estimate:
- Salary increment: It is estimated that the 3.00 fitment can be increased based on the factor, which can reach the minimum wage of Rs 26,000.
- New allowances: Keeping in mind the changing needs of employees, new allowances can be added.
- Adjustment of old allowances: Many old allowances will be removed, as in the 7th Pay Commission.
- Increase in dearness allowance (DA): The rate of dearness allowance is also likely to increase.
- Relief for pensioners: Pensioners also have possibilities of improvement in pension.
Conclusion
Crores of government employees and pensioners are expected to benefit from the formation of the 8th Pay Commission. If the recommendations of the Commission are implemented, it will be a message of relief and new expectations for the employees. Now everyone’s eyes are on how long the government makes a formal announcement and when the recommendations of the Commission apply.
These changes can lead to a significant twist in the structure of the salaries and allowances of government employees, so that the changing requirements of the employees will be better addressed.