By KR Shanmugam

The Eighth Central Pay Commission ( CPC ) is set to revise the compensation structure for over 4.7 million central government employees & 6.8 million pensioners. The fitment factor serves as a multiplier applied to an employee’s existing basic pay to determine the revised basic pay, explains KR Shanmugam

Objectives of the pay commissions

Since eight independent CPCs have been established — in 1946, 1957, 1970, 1983, 1994, 2006, 2013 and now 2025. Common objectives include adjusting pay and allowance in line with the cost of living, reducing the gap between the lowest and highest pay levels — from a 1:40 ratio (55 and2,000) initially to 1:14 (18,000 and2,50,000) under the 7th CPC, simplifying the pay structures by minimizing the number of pay scales (from 51 to 34 by th

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