The 7th Pay Commission will officially conclude on 31 December 2025, and from 1 January 2026, central government employees may receive a major salary boost. The decision will be based on the recommendations of the 8th Pay Commission, which is expected to finalize and submit its report in 2026. Employees across Grade Pay Levels 1 to 18 are eagerly waiting to know how much their basic salary might increase and what fitment factor will be implemented this time.
Why Fitment Factor Matters
A new pay commission is introduced every 10 years to revise the salaries of central government employees along with pension benefits. The salary increase mainly depends on the fitment factor, which is used to multiply the current basic pay to determine the revised pay.
6th Pay Commission Fitment Factor: 1.86
7th Pay Commission Fitment Factor: 2.57
Due to the 2.57 multiplier in the 7th CPC, employees received a significant increment compared to earlier pay structures.
8th CPC Fitment Factor: What Can Employees Expect?
Fitment factor decisions are typically influenced by financial conditions, inflation data, rise in Dearness Allowance, and recommendations from expert bodies.
According to Ramachandran Krishnamurthy, Director – Payroll Services at Nexdigm, the factor is finalized based on economic indicators and organizational pay structure requirements.
Meanwhile, the National President of the All India NPS Employees Federation, Manjeet Singh Patel, believes the 8th CPC fitment factor could be around 2.13. This projection is based on:
✔ Current DA at 58%
✔ Expected DA growth by the time 8th CPC is implemented
✔ Annual increments
✔ Increase in living cost and family size unit (standard 3.6)
However, salary projections are also being calculated at 1.92, 2.15, and 2.57 fitment factors to understand the possible impact across pay levels.
Current Basic Pay Under the 7th Pay Commission
Below is the existing basic salary structure for Level 1 to Level 18:
| Grade Level | Current Basic Pay |
|---|---|
| Level 1 | ₹18,000 |
| Level 2 | ₹19,900 |
| Level 3 | ₹21,700 |
| Level 4 | ₹25,500 |
| Level 5 | ₹29,200 |
| Level 6 | ₹35,400 |
| Level 7 | ₹44,900 |
| Level 8 | ₹47,600 |
| Level 9 | ₹53,100 |
| Level 10 | ₹56,100 |
| Level 11 | ₹67,700 |
| Level 12 | ₹78,800 |
| Level 13 | ₹118,500 |
| Level 13A | ₹131,100 |
| Level 14 | ₹144,200 |
| Level 15 | ₹182,200 |
| Level 16 | ₹205,400 |
| Level 17 | ₹225,000 |
| Level 18 | ₹250,000 |
Expected Salary Increase – 8th CPC Projections
Below are three projected scenarios based on possible fitment factors:
Scenario 1 – Fitment Factor 1.92
Level 1 salary may rise from ₹18,000 to ₹34,560 (₹16,560 increase)
Level 18 salary may rise from ₹2,50,000 to ₹4,80,000 (₹2,30,000 increase)
Lowest and highest pay scales could nearly double in this case.
Scenario 2 – Fitment Factor 2.15
Level 1 salary may rise to ₹38,700 (₹20,700 increase)
Level 18 salary may rise to ₹5,37,500 (₹2,87,500 increase)
A sizeable raise aligning with inflation and DA jump.
Scenario 3 – Fitment Factor 2.57
Level 1 salary may rise to ₹46,260 (₹28,260 increase)
Level 18 salary may rise to ₹6,42,500 (₹3,92,500 increase)
This scenario reflects continuation of 7th CPC’s multiplier and will create the highest pay growth.
What Happens Next?
The government is expected to form the Pay Commission panel soon. Once the committee finalizes its recommendations, exact salary figures will be confirmed. If implemented as expected:
Around 52 lakh central employees
And 65 lakh pensioners
…will benefit from increased pay and allowances.
Bottom Line
The 8th Pay Commission could bring a substantial financial upgrade for central government employees from January 2026, especially if the fitment factor is set at 2.15 or above. Until the final report is submitted, these projections provide a clear picture of the likely salary hike across all pay levels.
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