In a potential setback to crores of central government employees and pensioners, the Centre might not set up the 8th Pay Commission at all and possibly end the pay panel system entirely, according to a source.
The Modi government implemented the 7th Pay Commission’s recommendations starting in January 2016, and the panel’s term is expected to conclude on December 31, 2025, marking 10 years. Before the 7th Pay Commission, the 4th, 5th, and 6th Pay Commissions had tenures of 10 years each. This is why employees and their unions have been agitating and demanding the formation of the 8th Pay Commission. However, the government has maintained that the pay panel’s term is not fixed, as it is widely believed. Now, the news of exploring a new mechanism is likely to heighten anxiety among government employees.
“The government is thinking of a different way to revise salaries and pensions for central employees and pensioners instead of setting up a new pay commission like before,” the source, who has been privy to all the recent meetings between the government and employee representatives, revealed.
Also read: 8th Pay Commission Delay: Employees’ Federation plans nationwide agitation in new year – Details inside
Earlier reports have also suggested that the Centre might consider introducing a new system to replace pay commissions, which have traditionally provided recommendations at nearly 10-year intervals to revise the salaries and pensions of government employees.
Centre’s stance on 8th Pay Commission formation
In Parliament, Minister of State for Finance Pankaj Chaudhary clarified the government currently has no proposal under consideration for the formation of the 8th Central Pay Commission, and as a result, the question of a timeline does not arise.
What’s next for the central government employees?
After the government ruled out any immediate plans to set up the next pay commission, the All India State Government Employees Federation announced last month that they would launch a nationwide agitation in the new year if their demand is not met.
NC JCM urges immediate formation of 8th Pay Commission
Days after the Finance Ministry stated last month that there was no proposal under consideration for the formation of the 8th Pay Commission, the National Council (Staff Side) Joint Consultative Machinery (NC JCM) wrote to the Union Cabinet Secretary, urging the “immediate” establishment of the new pay commission.
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