8th Pay Commission 2026: How to calculate your expected salary hike as fitment factor talks continue

The 8th Pay Commission (8th CPC) is continuing consultations with government departments, employee unions and pensioners before finalising its recommendations on salaries and pensions for central government employees.

While the Commission has not yet announced the revised pay matrix or fitment factor, it has extended the deadline for ministries, departments and other government organisations to submit workforce data through its online portal until July 31, 2026.

What is the latest update?

The 8th Pay Commission, constituted on November 3, 2025, remains in its consultation and data-collection phase.

Regional consultation meetings have already been held in cities including Delhi and Lucknow, where stakeholders shared their suggestions on salary revision, allowances and pension reforms.

The Commission has clarified that only submissions made through its official online portal will be considered. Inputs sent via email, physical documents or spreadsheets will not be accepted.

How will your new salary be calculated?

The biggest factor influencing revised salaries will be the fitment factor, a multiplier applied to an employee's existing basic pay.

For example:

• Current basic pay: ₹20,000
• Fitment factor: 2.5
• Revised basic pay: ₹50,000

Once the revised basic pay is determined:

• Dearness Allowance (DA) is expected to reset to zero.
• House Rent Allowance (HRA) will be recalculated based on the new basic pay.
• Travel Allowance (TA) and other admissible allowances may also be revised accordingly.

What fitment factor is expected?

The government has not finalised the fitment factor.

Current estimates and demands include:

• 1.83 – Lower-end market estimates
• 2.57 – Same as the 7th Pay Commission
• 2.86 – Frequently discussed estimate
• 3.83 – Demand raised by some employee unions (not approved)

For comparison, the 7th Pay Commission adopted a fitment factor of 2.57, increasing the minimum basic salary from ₹7,000 to ₹18,000.

What about Dearness Allowance?

Separately from the 8th Pay Commission, the Union Cabinet recently approved a 2% increase in Dearness Allowance (DA) and Dearness Relief (DR), raising the rate from 58% to 60%, effective January 1, 2026.

This revision is part of the existing 7th Pay Commission framework and is independent of the upcoming 8th CPC recommendations.

After implementation of the 8th CPC, DA is expected to merge into the revised basic pay before resetting to zero.

Pension revision

Pensioners are also expected to benefit from the revised fitment factor.

Based on current projections:

• Minimum pension of ₹9,000 could increase to between ₹20,500 and ₹25,740, depending on the fitment factor adopted.
• However, these figures remain estimates until the Commission submits its final recommendations.

How can employees submit data?

Employees, pensioners, unions, ministries and government departments can submit relevant data only through the official 8th Pay Commission Online Data Portal after registering with their email address.

The Commission has clearly stated that submissions through email, hard copies or spreadsheets will not be considered.

When will the recommendations be announced?

Following previous Pay Commission timelines, the 8th CPC is expected to submit its recommendations around 18 months after its constitution.

If that schedule is followed, the report could be submitted between February and April 2027. Implementation, however, may take additional time, with revised salaries likely to be rolled out between 2029 and 2030, depending on government approval and administrative processes.