8th Pay Commission for Government Employees: The Union Cabinet, chaired by Prime Minister Narendra Modi, has given its approval to set up the 8th Pay Commission, which will revise the salary and pension of over 1.2 crore central government employees and pensioners.

Confirming the news, Union Minister Ashwini Vaishnaw said the Prime Minister has approved the 8th Pay Commission, and its recommendations will be submitted next year, in 2026.

Vaishnaw said, “…the government has approved the constitution of the 8th Pay Commission so that recommendations are made in a timely manner and can be implemented from 2026 onwards.”

He said there have been seven pay commissions since 1947, and currently, the 7th Pay Commission’s term is underway. The minister added that there will be sufficient time to receive the recommendations and implement them as the 8th Pay Commission’s term will start in 2026.

Vaishnaw said that the government will soon appoint the chairman and two members of the panel, which will suggest changes to central government employees’ pay, allowances, and perks by taking into consideration economic realities like inflation and other external factors.

The minister also said that there will be “massive consultations” with various stakeholders, including state governments and PSUs.

Government employees were eagerly awaiting an announcement in this regard as the 7th Pay Commission’s term will expire on December 31, 2025.

Employee representatives and various trade unions have had numerous meetings with the government in the last one year about the formation of the new pay panel. Unions also met FM Nirmala Sitharaman recently as part of the customary pre-budget meeting, where they pressed for the establishment of the 8th Pay Commission for around 50 lakh central government employees and 67 lakh pensioners.

The 7th Pay Commission was formed in February 2014 by the UPA government, but its recommendations were implemented in January 2016 by the BJP-led NDA government came to power. Based on past trends, it was widely believed that the new pay commission would be formed soon and its term would begin in January 2026. Past trends — particularly those of the 4th, 5th, and 6th Pay Commissions — had followed a 10-year cycle.