New Delhi, October 28, 2025 — The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Terms of Reference (ToR) for the 8th Central Pay Commission.
The 8th Central Pay Commission will be a temporary body comprising one Chairperson, one Part-Time Member, and one Member-Secretary. The Commission will make its recommendations within 18 months from the date of its constitution and may submit interim reports if required.
While framing its recommendations, the Commission will consider the economic conditions of the country, the need for fiscal prudence, availability of resources for developmental and welfare measures, the unfunded cost of non-contributory pension schemes, and the financial impact on State Governments. It will also take into account the existing pay structure and working conditions of employees in Central Public Sector Undertakings and the private sector.
The Government had announced the formation of the 8th Central Pay Commission in January 2025 to review and recommend changes in the salaries and benefits of Central Government employees. Following the approval of its Terms of Reference, the Commission is expected to submit its report by mid-2027, with the revised pay structure likely to be implemented from January 1, 2026.
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