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After the formation of the 8th Pay Commission, central government employees and pensioners are eagerly awaiting salary revisions. While the final recommendations may take some time to implement, preliminary estimates based on fitment factors give a clear idea of potential pay hikes. According to employee organizations, the fitment factor could be around 2.13.

How the Pay Matrix Works

Under the 7th Pay Commission, central government employees were divided into 18 levels. Level 1 covers Group D employees, while Level 18 includes top officials like the Cabinet Secretary. Each level has a predefined minimum basic salary, which forms the foundation for calculating revised pay under the new commission.

What is a Fitment Factor?

The fitment factor is the key multiplier used to determine salary hikes. It is calculated by considering:

• Current basic pay and grade pay

• Inflation and cost of living adjustments

• Government budget constraints

• Comparisons with private sector salaries and market rates

The final fitment factor is decided jointly by the Pay Commission and the government.

Proposed Fitment Factor in 8th Pay Commission

Employee organizations suggest that the 8th Pay Commission may adopt a fitment factor of 2.13, accounting for existing Dearness Allowance (DA) and future projections. Annual increments are also factored in. These are preliminary estimates, and the final figures will depend on the government’s approval of the Commission’s recommendations.

Current Minimum Basic Salary for Levels 1 to 5

Estimated Salary Increase Based on Different Fitment Factors

1. Fitment Factor 1.92

2. Fitment Factor 2.15

3. Fitment Factor 2.57

These estimates indicate significant benefits for employees and pensioners across levels, offering a clear view of how the 8th Pay Commission could improve monthly earnings for government staff.