Fitment Factor Hike Latest Update: Central Government employees and pensioners are most eager to get their salaries increased after the approval of the Eighth Pay Commission. An update recently stated that the fitment factor would now be 1.92. Applying which the basic salary of an employee would increase by 92 percent. To understand the complete calculation, read further in the news part below –
Raise In Salary With Fitment Factor 2.57
Mishra has said, “For example, maximum fitment factor in the 8th Pay Commission should be 2.57 or more. That will be equivalent to the 7th Pay Commission.” As we all know, after the implementation of the 7th Pay Commission, this was the fitment factor made. Suppose the fitment factor is pegged at 2.57; it boosts the minimum basic pay of central employees by 157 percent. Currently, government employees have a minimum basic salary of Rs 18,000 per month, which can increase to Rs 46,260 per month. At the same time, the minimum pension disbursed to a pensioner will also increase from Rs 9,000 to Rs 23,130 per month.
Will There Be A Fitment Factor Of 1.92?
Subhash Garg, a former finance secretary, agrees that the fitment factor of 2.86 would be very high. The central government employees are shooting for 2.86 as the fitment factor. The government is not going to announce such a huge enhancement to the fitment factor. He further stated that the fitment factor will be increased by 1.92 during the year. If this 1.92 fitment factor is implemented, then the minimum basic salary from where all government employees will initially get a raise under Basic Salary Hike will be from Rs 18,000 to Rs 34,560. As per that, 92 percent increase will be there in employee salary.
Why Are Employees Demanding A Fitment Factor Of 2.57?
National Council-Joint Consultative Machinery(JCM-NC) new seventh wage commission instituted on the 1957 basis from the 15th Indian Labor Conference and Dr. Aykroyd’s concept of minimum living wage. It has become old now in view of present inflation and life. The 7th Pay Commission considered consumption standards of only 3 units in determining the need-based salary. But the fitment should make it at least 5 for the 8th Pay Commission. This is because the dependent parents should be included. Mishra argued that in terms of the growing costs of internet, higher education, health, and digital services, the fitment factor must be at least 2.57 or more.
When Is The 8th Pay Commission Coming Into Effect?
The Seventh Pay Commission was constituted in the year 2014, while its implementation followed into recommendations in the year 2016. If on an average, the government announces a new pay commission after ten years, on that basis, the duration of the 7th Pay Commission ends in the last month of this very year. While the government might go for an implementation of the 8th Pay Commission, the forecasts indicate January 1, 2026, to be the date for this new set up. However, by some entities in mass media, there seems to be possibly a little delay. On January 16, 2025, the Union Cabinet, chaired by Prime Minister Narendra Modi, approved the 8th Pay Commission. However, the names of its chairman and members have not been announced yet.
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