8th Central Pay Commission (CPC)
Context:
Announced by: Government of India (Cabinet chaired by PM Narendra Modi).
Date of announcement: October 2025.
Purpose: To revise salaries, pensions, allowances, and other financial components for Central Government employees and pensioners.
Implementation: Likely from January 1, 2026.
Marks the continuation of periodic pay revision policies - the 7th CPC had come into effect on January 1, 2016.
Composition of the Commission
Chairperson: Justice Ranjana Prakash Desai
Former Supreme Court Judge.
Currently Chairman of the Press Council of India.
Headed the Delimitation Commission for UT of J&K.
Member (Part-time): Prof. Pulak Ghosh (IIM Bangalore).
Member-Secretary: Pankaj Jain (Secretary, Ministry of Petroleum and Natural Gas).
Tenure & Mandate
Tenure: 18 months to submit report.
Temporary body constituted to examine and recommend:
Existing salary slabs, grade pay structures, allowances, and pension formulae.
Financial implications affecting government compensation.
To account for macroeconomic realities, fiscal sustainability, and employment competitiveness.
Scope & Impact
Affects around:
48 lakh Central Government employees, and
67 lakh pensioners.
Recommendations will impact:
Central and State government staff.
Autonomous bodies, PSUs, and public sector institutions.
May influence private sector pay benchmarks as well.
Process & Consultations
The Terms of Reference (ToR) were finalized after consultations with:
Central and state governments.
Defence, Home, and Railway ministries.
Employee unions and other stakeholders.
The government emphasized macroeconomic and fiscal balance while revising pay structures.
Prelims Practice MCQs
Q. With reference to the 8th Central Pay Commission (CPC), consider the following statements:
Justice Ranjana Prakash Desai will chair the Commission.
The revised pay structure under the 8th CPC will come into force from January 1, 2026.
The Commission has a tenure of 24 months to submit its report.
Which of the above statements is/are correct?
A. 1 and 2 only ✅
B. 2 and 3 only
C. 1 and 3 only
D. 1, 2 and 3
Explanation:
The Commission’s tenure is 18 months, not 24 months. Hence, statements 1 and 2 are correct.
Q. Who among the following is the Member-Secretary of the 8th Central Pay Commission?
A. Pulak Ghosh
B. Pankaj Jain ✅
C. Ashwini Vaishnaw
D. T.V. Somanathan
Explanation:
Pankaj Jain, Secretary, Ministry of Petroleum & Natural Gas, is the Member-Secretary.
Q. The recommendations of the Central Pay Commission are applicable to which of the following?
Central Government employees
Defence personnel
State Government employees
Employees of autonomous institutions
Select the correct answer using the code below:
A. 1 and 2 only
B. 1, 2 and 3 only
C. 1, 2 and 4 only ✅
D. 1, 2, 3 and 4
Explanation:
CPC directly applies to Central Government employees (including Defence). States may adopt it separately. Its recommendations influence autonomous institutions as well.