8th pay commission: What is it and why government is not considering

8th pay commission is trending all over the news as the government has announced that they are currently not considering implementing the successor to the popular 7th pay commission. The government has said that no such proposal is under consideration with the government. The information was provided by Finance Minister Pankaj Chaudhary while addressing the question. To understand more about the changes, read below.

In the 8th pay commission, the government was expected to alter the laws governing employee advancement and pay raises. In January 2019, according to the 7th pay commission, the government had raised the DA for government employees by 3%. Financial experts are now expecting an increase of 5% in the DA.

Pay commission is an administrative system and mechanism set by the Government of India which gives its recommendations in pay, allowance, bonus and benefits by reviewing and examining the salary structure of civil employees and military forces. In 1946, the first pay commission was established and the 7th pay commission in February 2014 but the panel suggestions took effect on January 1st, 2016.

The Government of India announced in the Lok Sabha on monday that there will be no set up on the proposal of 8th pay commission.

When questioned about whether the center is taking any more steps to raise staff salaries in light of the rising inflation, the minister said,” ln order to compensate Central Government employees for erosion in the real value of their salaries on account of inflation, dearness allowances (DA) is paid to them and the rate of DA is revised periodically every 6 months on the basis of rate of retail inflation which has been over 7% for quite some time now.

To protect 47.7 lakh central government employees from inflation on March 31, 2022, the center increased the dearness allowance by 3% to 34%. A similar rise in the dearness relief was also announced for 68.6 lakh pensioners.

Meanwhile, the center is expected to make the DA hike announcement by the end of fiscal year.