8th pay commission: Interest is rising over the official formation and implementation of the 8th Pay Commission. Central government employees and pensioners remain uncertain about how to calculate pay hikes and pension increases using the fitment factor. Will the government adopt a completely new formula this time, or continue with the Pay Matrix system from the 7th Pay Commission? And what will happen to the fitment factor, which is key to determining salary hikes? Here, we’ll explain the process, and you can easily calculate the hike according to your basic pay.
Pay Matrix will continue with the Fitment factor
According to government sources, the pay matrix will continue as such this time also as per the 7th pay commission. However, it will use a new fitment factor to increase salaries. A fitment factor is important to decide the Central government employees’ salaries and pensions. Currently, in the 7th Pay Commission, the fitment factor is at 2.57. This will be increased between 1.92 and 2.86, if it is adopted. central government pay scales will rise sharply.
How the Fitment Factor Works
- Proposed (8th CPC): Basic Pay × 2.86 = New Basic Pay (DA starts at 0%, but merged allowances boost the base)
- Current (7th CPC): Basic Pay × 2.57 = Revised Basic Pay (plus DA, HRA, etc.)
If the fitment factor increases to 1.92
Salary Hike Example: Rs 70,000 Basic Pay Could Exceed Rs 2 Lakh
If your basic salary is Rs 70,000, here’s how the salary will rise.
- New basic pay with 1.92 fitment factor:
- ₹70,000 × 1.92 = ₹1,34,400
- Dearness Allowance (DA) at 55%: ₹1,34,400 × 0.55 = ₹73,920
- House Rent Allowance (HRA) at 27% for metro city: ₹1,34,400 × 0.27 = ₹36,288
- Total salary: ₹1,34,400 + ₹73,920 + ₹36,288 = ₹2,44,608
- Total salary = ₹2,44,608
By using the same formula, you can calculate the pay rise according to the fitment factor.
Fitment Factor, and what are the hikes?
8th pay commission: A fitment factor is important to decide the Central government employees’ salaries and pensions. Currently, in the 7th Pay Commission, the fitment factor is at 2.57. This will be increased between 1.92 and 2.86, if it is adopted. central government pay scales will rise sharply.
