8th Pay Commission: Will old rules return for govt employees? Big decision on DA hike soon
The 7th Pay Commission's term ends in 2026. Amidst this, central government employees have received big news. The old rules regarding Dearness Allowance (DA) may be reinstated! Find out what those rules are.
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Big announcement on the 8th Pay Commission before the budget session. Union Minister Ashwini Vaishnaw announced the approval of the 8th Pay Commission to revise the salary structure of central government employees and pensioners.
Although the approval has been granted, the date of implementation of the 8th Pay Commission is yet to be announced.
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Discussions are expected soon. There are rumors that the new commission might be influenced by the 5th Pay Commission.
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The 7th Pay Commission was implemented in 2016, bringing several changes to the salary structure. The minimum basic salary was increased to Rs 18,000.
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The maximum basic salary for Cabinet Secretaries increased to Rs 2.5 lakh, and the gratuity ceiling to Rs 20 lakh. Under the 6th Pay Commission (2006), the minimum and maximum basic salaries were Rs 7,000 and Rs 80,000, respectively.
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The gratuity ceiling was set at Rs 10 lakh. Salaries and pensions are expected to increase significantly under the 8th Pay Commission.
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Employees are demanding the DA rules from the 5th Pay Commission be reinstated in the 8th Pay Commission.
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When DA exceeded 50% under the 5th Pay Commission, it was merged with the basic salary. Employees want this rule reinstated.
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In 2004, the government approved a 50% DA increase, merging it with the basic salary for central government employees.
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This rule was discontinued with the 6th Pay Commission. This rule was also discontinued in the 7th Pay Commission, and there are appeals for its reinstatement.
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Since the 1st Pay Commission, the minimum salary for central government employees has increased by 32,627.27%.
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Under the 1st Pay Commission, the minimum and maximum monthly salaries were Rs 55 and Rs 2,000, respectively.
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The minimum monthly salary increased to Rs 80 under the Second and Rs 185 under the 3rd Pay Commission.
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The minimum monthly salary increased to Rs 750 and Rs 2,550 under the 4th and 5th Pay Commissions, respectively.
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The minimum monthly salary was Rs 7,000 under the 6th and Rs 18,000 under the 7th Pay Commission. It remains to be seen what the minimum salary will be under the 8th Pay Commission.