Pay Shock Incoming? 8th Pay Commission May Rewrite Salary Rules

8th Pay Commission: If the 3.25 fitment factor is implemented under the 8th Pay Commission, the minimum salary for central government employees could increase from ₹18,000 to ₹58,500.

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8th Pay Commission: How much will the salary increase with the 3.25 formula?

January 2026 is set to be a very important month for central government employees and pensioners. As preparations for forming the 8th Pay Commission begin, speculation about the new salary structure is at its peak.

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3.25 Fitment Factor

Specifically, if the demand for a 3.25 fitment factor raised by employee unions is implemented, it could drastically change both the salaries and fortunes of the employees.

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What is the Fitment Factor and why is 3.25 important?

The fitment factor is a multiplier applied to an employee's current basic pay to determine the new basic pay. In the 7th Pay Commission, this factor was 2.57.

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Salary increase will be sky-high

Keeping in mind current inflation and the rising cost of living, various employee organizations, like the FNPO, have demanded a 3.25 fitment factor. If the government accepts this, the salary increase will be massive.

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How much will the salary increase?

Currently, under the 7th Pay Commission, the minimum basic pay is ₹18,000. If the 3.25 fitment factor is approved, this minimum salary will rise to about ₹58,500, a one-time increase of 20% to 45%.

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The potential salary structure for different levels of employees could be as follows

• Level 1 (Min): From ₹18,000 to ₹58,500.

• Level 5: Salary could be ₹87,600.

• Level 10: Gazetted officers' pay may rise to ₹1.73 lakh.

• Level 18 (Max): Top salary could reach ₹8.12 lakh.

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Other demands and benefits for pensioners

A demand has been made to raise the annual increment from 3% to 5%. The new factor will also benefit pensioners, with minimum pensions expected to rise from ₹9,000 to ₹20,500-₹25,740.

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Next Steps

The 8th Pay Commission's draft committee is set to hold a key meeting on Feb 25, 2026. The deadline for employee feedback is March 16, 2026. The final fitment factor will decide the financial fate of millions.