HomeBusinessBumper hike from 8th Pay Commission! An employee with ₹ 10,000 basic...

Bumper hike from 8th Pay Commission! An employee with ₹ 10,000 basic salary may have salary ₹ 28,600

8th pay commission: The announcement of 8th Pay Commission is no less than good news for government employees. As the preparations are starting for this commission, the most discussion is about the fitment factor. This is a major criteria that decides how much will be increased in the existing salary of employees. Currently, the 7th Pay Commission had implemented the fitment factor of 2.57, which fixed the minimum wage ₹ 18,000. Now there is a possibility of further increase in the 8th Pay Commission.

8th pay commission key information

Category Details
Current pay commission 7th Pay Commission (Applied from 2016)
Upcoming pay commission 8th Pay Commission (Possibility of being implemented from 2025)
Previous fitment factor 2.57
Possible new factor Expected to be up by 2.86
Estimated salary on ₹ 10,000 basic ₹ 28,600 (According to 2.86 fitment factor)
Waitan involved in calculation Basic pay, dearness allowance, other allowance
Affected class Central employees, pensioners, psus etc.
Government approval Commission approval in January 2025
8th Pay Commission
8th Pay Commission

What is fitment factor and its importance

The most popular and important topic fitment factor in 8th Pay Commission is the factor. It is a multiplier i.e. multiplication that helps in converting the existing basic salary into a new salary structure. If an employee is currently working on ₹ 10,000 basic salary and the new fitment factor 2.86 is fixed, then his new salary will be ₹ 28,600.

This calculation is not only a matter of increasing pay scale, but it also includes dearness allowance, HRA, and other allowances. Therefore, the larger the fitment factor, the higher the total salary.

How the 7th Pay Commission decided 2.57 fitment factor

When the 7th Pay Commission came into force, the minimum wage was increased from ₹ 7,000 to ₹ 18,000. This increase was based on the fitment factor of 2.57. It was behind the recommendations of the 15th Indian Labor Conference of 1957.

At that time, the cost of ₹ 17,468.91 was revealed by adding the average monthly needs of the family such as food, education, electricity, fuel, festivals etc. It added 125% dearness allowance and the total amount reached ₹ 17,992.98, which was a goal to ₹ 18,000.

What can change in 8th pay commission

Now that the government has approved the 8th Pay Commission, everyone’s eyes are on its possible reforms. According to experts, this time the fitment factor can range between 1.92 to 2.86. If it is fixed 2.86, it is possible to increase a direct increase in salary by about 86%.

This will also make a big change in the total inhand salary received by the employees. Not only this, this will also benefit the pensioners a lot because their pension will also be decided according to the new salary.

How much is the salary increase in the fitment factor

When the 7th Pay Commission fixed the fitment factor of 2.57, it had 2.25 part of dearness and old salary and the rest of the part was about 0.32 real salary growth. A similar structure can be seen in the 8th Pay Commission, but it is expected that this time the share of the actual increment will be kept more.

When can apply 8th pay commission

The government has approved this commission in January 2025, and it is believed that the formation of the commission will be announced in a few months. The report may take up to one year to prepare, and then it may apply in 2026. However, its benefit can also be available from retrospective effects (pre-effects).

8th Pay Commission
8th Pay Commission

8th Pay Commission Not just one increment, but is a means of improving the lifestyle of crores of government employees and pensioners. If the fitment factor is fixed close to 2.86, it can be the biggest increase ever.

It is now the responsibility of the government to create a salary structure keeping in mind inflation and needs that live up to the expectations of the employees. In the coming time, when the Commission presents its report, it will be clear to which height the salary of government employees of new India will go.

Also read:-

Dailynews24 App:

Read the latest news of country, education, entertainment, business updates, religion, cricket, horoscope here for daily breaking Hindi news and video short news coverage.

Googleplayiosstore

Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Must Read