Lok Sabha Question No. 212 (UNSTARRED), answered on 2025-12-01
Subject: Constitution of 8th Central Pay Commission
Ministry: FINANCE
Asked by: Shri Anand Bhadauria

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF EXPENDITURE

## LOK SABHA UNSTARRED QUESTION No. 212

TO BE ANSWERED  ON MONDAY,  DECEMBER 1, 2o25/AGRAHAYANA  10, 1947 (SAKA)

## "CONSTITUTION OF 8TH CENTRAL  PA COMMISSION"

## 212. SHRI ANAND BHADAURIA:

Will the Minister of Finance  be pleased  to state

- a) whether  the Government  has issued notification for constitution  of 8th Central Pay Commission  recently;
2. if so, the details thereof; b)
3. whether the Government proposes  to merge the existing  DA/DR with basic pay as an immediate  relief measure for Central Government employees/pensioners  who are facing  unprecedented  inflation during the last 30 years since DA,/DR given  to these  employees is not in consonance with the real time retail inflation; c)
- d) if so, the details thereof;  and
- e) if not, the reasons therefor?

## ANSWER MINISTER OF STATE IN THE MINISTRY OF FINANGE

## I PANKAJ CHAUD

- (a)  to  (b) Yes sir, Government  has notified Resolution  dated 03,11.2025  for constitution  of the Eighth  Central Pay Commission. A copy of the Notification  is enclosed at Annexure-1.
- (c)  to (e) No proposal regarding  merger of the existing Dearness  Allowance  with the Basic Pay is under consideration with the Government  at present.  ln order to adjust  the cost of living and to protect Basic  PaylPension  from erosion in real value on account of inflation, the rates of DA,/DR are revised periodically  every  6 months on the basis of All lndia Consumer Price lndex for lndustrial Workers  (AlCPl-lW  released  by Labour Bureau, Ministry of Labour and Employment.

*****

## Annexure-l

ResolutionNo'01-01/2025-E.lll(A)dated03'11.2o25asreferred.oin,"ffi (a) and (b) of the Lok Sabha Unstarred Question  No. 212 for answer on 01 .12.2025.

^

## THE  GAZETTE OF INDIA:

## MINISTRY  OF FINANCE (Department  of Expendlture) RESOLUTION

New Delhi, thc 3rd November,  2025

F, No. 0l-01202'E.IIl(A).-The Govemment  of India have decided  to appoint the Eighth  Central Pay Commission  comprising  of the following:-

2. Member  (Purt-Time)

3. Member-Secretary

- Chairperson

- Srnt. Justice  Ranjana  Prakash  Desai

- Prof.  Pulak  Chosh

-  Shri Pankaj  Jain

- 1.

2. The terms of reference  of the Commission  will be as follows:-
- a) To examine  and recommend changes  that are desirabte  and feasible  irt the emoluments  including  pay, allowances, and other facilitied  benefits,  in cash or kind,  having  regard  to rationalization,  conlemponrry functional  requirements  and the  speciali"ed needs of various DepartmenB,  agencies and services  in rcspect  of following  categories  of employees:
3. (i) Central Government  employees * industrial  and non-industritl;
4. (iii) Persodnel  belonging  to the Defence  Forces;
5. (ir) Personnel  belonging  to the All lndia Services;
6. (iv) Personnel  of*re Union  Territories;
7. (vi) Members  of the regulatory  bodies  (excluding  the RBI) sct up under the Acts  ofParliament
8. (v)  Officers and employees  of the lndian  Audit  and Accounts  Department;
9. (vii) Officers  and employees  of the Supreme  Courl;
10. (viii)  Officen and enrployees  of the High Courts  whose  expenditure is borne by the Union  Territories; and
11. (ix) Judicial  ofticem  ofthe  subordinate courts in the Union Tetritories.

lNoter  In respect  ofjudicial  officers, the Commission  shall  adhere to the principle  enunciated by, the Supreme Court  in its Judgement  dated  24s August, 1993  in All [dia Judgcs' Association  and Others V/i Union of India antl  Others, viz. that there  shall be no link  between scrvice conditions  ofjudges  and administrative  executive  and that the service  conditions  ofjudges  have  to meet  tfie special needs ofthe judiciaryl.

- To work  out an emolument  strucrure conducive  to attracting  tal€nt  to Govemment  service,  promoting effioiency, accountability  fltd responsibiliry  in the wort culture' (b)
- To examine  the existing  schemes  of bonus  with a view  to improving perfonnance  and productivity  and make recommeadations  on ttre general principles,  financial parameters,  productivity  and perfonnance' lir:ked  parameters  for an appropriate incentive  Scheme  to reward  excellence in  productivity aad performance. (c)
- To review  the existing allowances and conditions  of their admissibility  and recommend their rationalization keeping in view the multiplicity  ofallowances.' (d)

(e)

- (iD To review &e Death-cum-Rctiremcnt Gratuity and pensions of employees  trot borne  on the Narional Perrsion System  (including  Unified  Pension  Scheme) and make  recomrnendatione thereon  keeping  in view Para (iii) below.
- (i) To rcview  the Desth-cum-Rctircment Gratuiry of employees bomc on the Narional Pgqsion Systern  (ncluding  Unified Pension  Scherne)  and  make  recomrnendations  thereon.
- To make recommsndations on the above,  keeping in v'iew: (0
- The economic conditions  in the country  and the uecd  for fiscal prudcncc; (i)
- The need 10 ensure  that adequate  resources  are  available  for developmental  expcnditure  and welfare  measures; (ii)

IPART I-SEC.II

| I--{F-s rl     | 'trrGrsrrcrq?: sIqTaT(Ur 5                                                                                                                                                                                                                                                                                                                                       |
|----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (iii) iiui (v) | The unl'uncled cost ofnon-conliburory pension schemes; The likely impact of the recommendations on the finances of the Sate Govemments which usually adopt the recommendatioos with some modifications; and The ptevailing omolument strucfurs, benofits and working conditioos available to employees of Central hrblic Sector Undertakings and private sector' |

3. The Commissio* will 6evise its own  proccdure  and nray appoint such Advisors,  hstitutional  Consultants  and Expcrts, as it rnay considernecessary  for any pirticular  purpose.  It may  call for such  information  and take  such evidcnce. * it *uy consi<Ier  oecessary.  Miliitries  andDepartmentsof  Govemment  of Iadia shall  fumish  such information  and documsrts and other assisance  as may  be r.qui.rd by the Commi*sion. The Government  of India  trusts that State Governments,  Service Associations  an,i others  ionc.*.d  will extcnd to the Commission  their fullest cooperation  and assistance.
4. The Commission  will have its headqua(ers  in Delhi.
5. The Commission will make  irs recommendations  within l8 months  of the dae of its constitution- lt may consider,  ifnecessary,  sending interim reports on any  ofthe  rnafiers as and when  the recommendations  are finalized-

V. VIJALNAM,  SecY.

## ORDER

ORDERED that the Resolution  bc published  io thc Gazcttc of India'

ORDERED also that a copy  of the Resolution  be communicated  to the MisislrieyDepartments  of the Governrnent  of India,  State  Govemments/-Administrations of Urrion Territories  and  all others  concerned.

V. VUALNAM,  SecY.

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