New Delhi— The Union Cabinet on Tuesday approved the Terms of Reference (ToR) for the 8th Central Pay Commission, paving the way for its recommendations to take effect from January 1, 2026. The move is set to benefit around 50 lakh central government employees and 69 lakh pensioners across the country.
According to the government, the commission will have one chairperson, one part-time member, and one member-secretary. It is mandated to submit its recommendations within 18 months from the date of its constitution. The panel will also provide an interim report to the Centre during its term.
Former Supreme Court judge Ranjana Prakash Desai has been appointed as the chairperson of the commission, while IIM Bangalore Professor Pulak Ghosh will serve as the part-time member. Petroleum Secretary Pankaj Jain has been named as the Member Secretary.
Information and Broadcasting Minister Ashwini Vaishnaw, while addressing reporters, said that the implementation date would be finalized after the interim report is received. “The specific date will be decided once the interim report comes in… But, mostly it should be January 1, 2026,” he said.
The Cabinet had earlier, in January 2025, granted in-principle approval for the formation of the 8th Pay Commission. It is expected to review and revise the salary structure, allowances, and pension schemes for central government employees, ensuring alignment with economic growth and cost-of-living trends.