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Why a Lower 8th Pay Commission Factor Could Deliver More

Why a Lower 8th Pay Commission Factor Could Deliver More
8th Pay Commission salary hike: Why 2.1 fitment factor, lower than 7th CPC’s 2.57, could still deliver a bigger hike · livemint.com

The fitment factor is a number used to calculate new basic salaries for government employees.

The 7th Pay Commission used 2.57, while 2.1 is being discussed for the 8th Pay Commission.

At first, 2.1 looks smaller than 2.57.

However, employees already receive dearness allowance, or DA, in addition to their basic pay.

Patel says the real comparison should include both basic pay and DA.

Under his example, ₹18,000 could become ₹37,800 with a 2.1 factor.

He estimates this could mean a larger effective increase than the previous pay revision.

These figures are only a calculation, because the final factor has not been approved.

Key facts

Previous fitment factor
The 7th Pay Commission used a 2.57 fitment factor.
Possible new factor
Manjeet Singh Patel’s illustration uses a 2.1 fitment factor for the 8th Pay Commission.
Minimum basic pay
At 2.1, ₹18,000 would become ₹37,800.
Pay Level 4 example
₹25,500 would become ₹53,550 at a 2.1 factor.
Pay Level 13 example
₹1,23,100 would become ₹2,58,510 at a 2.1 factor.
Estimated effective increase
Patel estimates about 53% under the 2.1 illustration, compared with roughly 32% under the 7th Pay Commission.
Official status
The 2.1 factor is not final and remains subject to the 8th Commission’s recommendations and government approval.

Sources

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