2024-07-16 17:34:03
New Delhi: Central employees have once again demanded the government to constitute the Eighth Pay Commission. Employee organizations say that in this era of inflation, increase in salary, allowances and pension is necessary. The government has received this demand before the upcoming Budget 2024. India’s 2024-25 budget will be presented by Finance Minister Nirmala Sitharaman in the Lok Sabha on July 23. This will be the first full budget of the third term of the Modi government. Many organizations protecting the interests of central employees and pensioners have demanded the government to constitute the Eighth Pay Commission as soon as possible. The job of this commission will be to recommend amendments in the salaries, allowances, pensions and other benefits of central employees and pensioners. Recently, SB Yadav, General Secretary of the Confederation of Central Government Employees and Workers, wrote a letter to the Cabinet Secretary demanding the formation of the 8th Pay Commission.
Apart from this, they also demanded restoration of Old Pension Scheme (OPS), payment of 18 months’ Dearness Allowance (DA) to employees and pensioners and release of relief amount withheld during the COVID-19 pandemic. Earlier, the National Council (Staff Side) of the Joint Consultative Machinery (JCM) had also stressed on the formation of the 8th Pay Commission.
When is the Central Pay Commission formed?
Usually the Central Pay Commission is constituted every ten years. This commission reviews the salaries, allowances and other benefits of central employees and recommends revision in them. These recommendations are made keeping in mind inflation and other external factors. The 7th Pay Commission was constituted on 28 February 2014 by the then Prime Minister Manmohan Singh. It submitted its report on 19 November 2015. The recommendations of the 7th Central Pay Commission were implemented from 1 January 2016.
Keeping this pattern in mind, the next i.e. 8th Central Pay Commission should be implemented from January 1, 2026. However, the central government has not yet made any official announcement on this front. More than one crore central employees and pensioners of the country are eagerly waiting for the formation of the Eighth Pay Commission by the government.
Will the 8th Pay Commission be announced in Budget 2024?
Economic Times quoted Ritika Nayyar, partner, Singhania & Co., as saying that since this will be the first budget after the Modi government returned to power for the third consecutive time and the deadline for the pay commission is also approaching, the response received after the elections on the need to focus on the financial interests of the middle class may persuade the government to at least start preparing for it. Implementing it immediately may boost the economy, but will also increase the pressure on the government treasury.
Ritika further said that although government employees are hopeful and the unions are strongly advocating for the 8th Pay Commission expected in January 2026. But, its formal announcement in the upcoming budget seems unlikely. In the past too, there has usually been a gap of several years between announcement and implementation. The final decision depends on the economic condition of the country and the priorities of the government.
The central employees’ organizations have also placed some of their other demands before the government. These include:
1) Abolish NPS and restore Old Pension Scheme (OPS) for all employees.
2) Employees and pensioners should be paid 18 months of dearness allowance (DA/DR) which was frozen during the COVID-19 pandemic. Also, the commuted portion of pension should be restored after 12 years instead of the current 15 years.
3) The 5% cap on appointments on compassionate grounds be removed and compassionate appointments be granted to all wards/dependents of the deceased employee.
4) All the vacant posts of all cadres in all departments should be filled. Also, outsourcing and contracting should be banned in government departments.
5) Democratic functioning of associations/federations may be ensured as per the provisions of JCM mechanism.
6) Casual, contractual labourers and GDS employees should be regularised. Employees of autonomous bodies should be given the same status as central government employees.