The Union Budget for 2025 will be Presented by the Union Finance Minister Nirmala Sitharaman on February 1, 2025, at 11 am. Before this, she presented six annual and two interim budgets. The Cabinet in January had approved the Implementation of the 8th Pay Commission to revise salaries of nearly 50 lakh central government employees.
Pay commissions are set up by the government to address various issues which are faced by government employees related to their pay and pensions taking into consideration the rising cost of living. The pay commissions also have a broader impact on the economy and consumer sentiment. In total, there have been 7 pay commissions which have been constituted the last one was the seventh pay commission which was implemented in the year 2016. By implementing the 8th Pay Commission, the Central Government employees may get a 10-30% salary hike, as per the media reports.
Union Budget 2025 – 8th Pay Commission
As reports suggest, the Central Government 8th Pay Commission will likely come into force on January 1, 2026. The 8th Pay Commission will significantly increase the salaries of the Central government employees along with the Dearness Allowance (DA). The Government will also soon appoint a chairman and 2 members to the panel to recommend changes in the pay structure of central government employees.
The Fitment factor is very important in determining the extent of financial benefits it is a multiplier used to calculate revised salaries and pensions for the employees. Now let’s look at the Possible Slabs for the Central Govt Employees;
| Level | Included Section (People) | Earlier Slab Basic Pay | Expected Slab |
| 1 | Peon, Attendants, and Support Staff | Rs 18,00 | Rs 51,480 |
| 2 | Lower Division Clerks | Rs 19,900 | Rs 56,914 |
| 3 | Constables and skilled staff in the police or public services | Rs 21,700 | Rs 62,062 |
| 4 | Stenographers Grade D and Junior Clerks | Rs 25,500 | Rs 72,930 |
| 5 | Senior Clerks and Higher level technical staff | Rs 29,200 | Rs 83,512 |
| 6 | Inspectors and sub-inspectors | Rs 35,400 | Rs 1,01,244 |
| 7 | Superintendents, Section officers, and Assistant engineers | Rs 44,900 | Rs 1,28,414 |
| 8 | Senior officers and Assistant audit officers | Rs 47,600 | Rs 1,36,136 |
| 9 | Deputy Superintendents of Police and Account officers | Rs 53,100 | Rs 1,51,866 |
| 10 | Group A officers like entry-level officers in the civil services | Rs 56,1000 | Rs 1,60,446 |
Central Govt Employees May Get 10-30% Salary Hike
The Central Pay Commission is usually set up once every 10 years to evaluate and suggest modifications to pay scales, allowances, and benefits for central government employees considering various economic indicators like inflation. The main objective of the 8th Pay Commission is to evaluate government employee salaries and pensions based on the current economic situation and inflation rate. So, the 8th Pay Commission is a significant step towards increasing the salaries, allowances, and gratuities of government employees and pensioners. It is also decided that the 8th Pay Commission 2025 recommendations are received well before the completion of the term of the seventh pay panel.