Union cabinet finalises Terms of Reference for the 8th Pay Commission headed by Justice Ranjana Prakash Desai; panel to submit recommendations within 18 months, likely effective Jan 1, 2026.
Government clears 8th Pay Commission Terms
The Union cabinet on Tuesday approved the Terms of Reference (ToR) for the 8th Central Pay Commission, setting the formal mandate for revising central government salaries and pension allowances. The decision completes the final administrative step needed for the commission to begin detailed work on pay structures affecting roughly 50 lakh central government employees and around 69 lakh pensioners.
Former Supreme Court judge Justice Ranjana Prakash Desai will chair the panel, with Professor Pulak Ghosh and Pankaj Jain named as member and member-secretary respectively. The commission has been asked to submit its recommendations within 18 months, and the government indicated its proposals are likely to come into effect from January 1, 2026, if accepted.
Officials said the ToR were finalised after wide consultations with central ministries, state governments and the staff side of joint consultative machinery — a standard step to ensure inputs from defence, home affairs and personnel departments are considered before framing revised pay scales and allowances.
