The Central Government on Tuesday announced the names of the remaining two members of the 8th Pay Commission and also revealed how the new commission will function. The main goal of the new pay commission is to make salary revision more performance-based, focusing on responsibility, accountability, and efficiency among government employees.
The commission will recommend necessary changes in salaries, allowances, bonuses, pensions, and other benefits, with the aim of creating a motivational and performance-driven pay structure that encourages better work output.
Official Notification Details
According to the notification, the commission will be chaired by Justice Ranjana Prakash Desai, with Professor Pulak Ghosh as the part-time member and Pankaj Jain as the member secretary. The headquarters of the commission will be located in New Delhi, and it must submit its report to the government within 18 months.
The commission may also engage experts, advisors, and institutions to assist in its work. If the new recommendations follow the pattern of the previous pay commissions, there could be a significant increase in salaries and pensions.
It is estimated that if the fitment factor is revised upwards, a monthly pension of ₹25,000 could rise to ₹50,000, effectively doubling the amount.
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Review of Bonuses and Allowances
The 8th Pay Commission will review all existing bonus schemes and allowances to evaluate their relevance and necessity. Non-essential allowances may be discontinued to simplify the salary structure.
The commission will also examine death-cum-retirement gratuity provisions for employees covered under the National Pension System (NPS) and suggest updates to the pension and gratuity rules for employees under the old pension scheme.
Which Allowances Might Be Affected?
Although there is no official confirmation yet, it is expected that certain allowances could be revised or discontinued. These may include:
- Travel Allowance
- Special Duty Allowance
- Small Regional Allowances
- Old Departmental Allowances (such as Typing or Clerical Allowance)
The government’s objective behind these reforms is to make the salary structure simpler, more transparent, and easier to understand for all employees.