8th Pay Commission Salary Hike: Upto ₹51,480 expected from April FY26. What is it and who benefits?

8th Pay Commission Salary Hike: In January 2025, the Union Cabinet announced the establishment of the 8th Pay Commission to revise the salaries of central government retirees and employees.

According to multiple media reports, the government has not yet provided any details on the percentage of salary hikes under the newly set up pay commission. However, people expect the minimum basic salary to be increased to ₹51,480 from its current level of ₹18,000, reported Business Today. 

What is the 8th Pay Commission?

The 8th Pay Commission is the latest pay revision commission announced by the Central Government. It aims to revise the pensions, allowances, and salaries of central government retirees and employees.

The commission will also adjust the Dearness Allowance (DA) which is granted to the employees factoring in the ongoing inflation rate. The commission will also look at other various factors like the requirement of employees, affordability of government, etc.

This pay commission is set up every 10 years to review and recommend changes to the salary structure of government employees. India has witnessed a total of seven pay commissions since its Independence. 

Pay Commissions history in India

1st Pay Commission: According to the official website of the CGS, the 1st Pay Commission revised the pay structure and fixed the minimum salary at ₹55 and the maximum at ₹2,000 in the year 1946. They also introduced the idea of “living wages”.

2nd Pay Commission: The 2nd Pay Commission increased the minimum salary to ₹80 and the maximum salary to ₹3,000 for a government employee.

3rd Pay Commission: The 3rd Pay Commission increased the amount of the minimum basic salary to ₹185 per month, and ₹3,500 as the maximum for a month.

4th Pay Commission: This pay commission in the year 1986 increased the minimum salary to ₹750 per month and the maximum salary to ₹8,000 per month. 

5th Pay Commission: The 5th Pay Commission increased the minimum pay to ₹2,550, and the maximum pay was set at Rs

6th Pay Commission: The 6th Pay Commission introduced the pay bands and pay grades, revising the minimum salary to ₹7,000 and the maximum salary to ₹80,000.

7th Pay Commission: The 7th Pay Commission revised the minimum pay scale to be ₹18,000 per month, and the maximum pay to be ₹2,50,000 per month. 

Who will benefit from the 8th Pay Commission?

According to Mint's earlier report, almost 50 lakh central government employees, which includes defence personnel, are expected to gain from the Center's 8th Pay Commission move.

The pay revision commission will also benefit nearly 65 lakh central government pensioners, including defence retirees.

Expenditure Secretary Manoj Govil, on Monday, February 10, told the news portal CNBC-TV18 that the 8th Pay Commission is expected to start its work from the month of April in the financial year 2025-26.

As per the report, the Expenditure Secretary highlighted that the revision of pay will have no financial impact on the financial year 2025-26, and the next Union Budget for the year 2026-27 will also have a monetary allocation for the financial impact of the pay revisions.