Archive · 2 Dec 2025
8th Pay Commission: Terms Approved, No DA Merger
The Indian government has approved the terms for the 8th Central Pay Commission, which will review the salaries and benefits of government employees.
The commission has 18 months to submit its report and may issue interim recommendations.
The government has confirmed that there are no plans to merge the Dearness Allowance (DA) with basic pay, which means employees will not get immediate relief from high inflation.
Employee unions are unhappy because the terms do not clearly include pensioners, do not specify an implementation date, and do not fully align with their recommendations.
The commission will also consider the economic conditions and the need for fiscal prudence while making its recommendations.
The 8th Central Pay Commission was notified on November 3, 2025, with a three-member panel.
The government has no plans to merge Dearness Allowance (DA) with basic pay.
Employee unions are unhappy with the commission's terms of reference, citing lack of clarity on pensioners, implementation date, and alignment with their recommendations.
The commission's mandate includes reviewing pay, allowances, benefits, bonus schemes, and pension for Central Government employees and others.
The commission has 18 months to submit its report and may issue interim recommendations.
- Who
- The 8th Central Pay Commission and the Ministry of Finance
- What
- Approval of the Terms of Reference for the 8th Central Pay Commission
- When
- December 1, 2025 (Parliament's Winter Session)
- Where
- Lok Sabha, India
- Why
- To review and revise the pay structure and service conditions of central government employees
- Commission Members
- Justice Ranjana Prakash Desai (Chairperson), Prof. Pulak Ghosh (Member), Pankaj Jain (Member-Secretary)
- Notification Date
- November 3, 2025
- DA Revision Frequency
- Every six months based on AICPI-IW
- Commission Mandate
- Review pay, allowances, benefits, bonus schemes, and pension for Central Government employees and others
- Report Submission Deadline
- 18 months from notification
- Expected Implementation Date
- January 1, 2026
Sources
8th Pay Commission DA merger update: Finance ministry breaks silence on basic pay–dearness allowance integration
8th Pay Commission: Govt shared important update on DA basic pay merger. Check details
8th Central Pay Commission Terms Approved: Key Review for Govt Employee Salaries