8th Pay Commission: Staff union urges PM to amend 8th CPC ToR, highlight pension gaps for pensioners
In a detailed letter to PM Modi, the union said the current ToR lacks clarity on several key issues, particularly pension revision, pension parity and the future of various pension schemes. One of the major objections raised is the absence of a specified implementation date.
- Nov 20, 2025,
- Updated Nov 20, 2025 4:43 PM IST
The Confederation of Central Government Employees & Workers has urged Prime Minister Narendra Modi to amend the Terms of Reference (ToR) of the newly constituted 8th Central Pay Commission (CPC), arguing that crucial concerns of nearly 69 lakh pensioners and family pensioners have been overlooked. In a detailed letter sent on Monday, the Confederation welcomed the formation of the Commission but said the current ToR lacks clarity on several key issues, particularly pension revision, pension parity and the future of various pension schemes.
One of the major objections raised is the absence of a specified implementation date. The Confederation insisted that the 8th CPC must come into effect from January 1, 2026, consistent with the 10-year cycle followed by earlier pay commissions. It also criticised the use of the phrase “unfunded cost of non-contributory pension schemes” in the ToR, calling it inappropriate and insensitive. Citing landmark Supreme Court judgments such as Deokinandan Prasad, D.S. Nakara and Vijay Kumar v. Central Bank of India, it emphasised that pension is a constitutional right under Article 300A and a core element of socio-economic justice—not a fiscal burden to be categorised alongside government liabilities.
The Confederation demanded a clear directive empowering the 8th CPC to examine pension structures comprehensively. This includes revising pensions, ensuring parity irrespective of retirement date, restoring commutation after 11 years, introducing additional pension every five years for senior citizens, improving CGHS access, and restructuring the CGEGIS.
It reiterated its long-standing call for the restoration of the Old Pension Scheme (OPS), arguing that 26 lakh employees who joined service after April 1, 2004, remain deeply dissatisfied with the NPS and the newer Unified Pension Scheme (UPS). The 8th CPC, it said, must evaluate all schemes and recommend the most beneficial option.
The Confederation also sought inclusion of employees of autonomous institutions, statutory bodies and Gramin Dak Sevaks under the 8th CPC’s scope, describing them as integral to government service delivery. Citing rising inflation and delays in the pay commission process, it requested 20% interim relief to safeguard the morale of nearly 1.2 crore serving employees, pensioners and family pensioners. Expanded CGHS wellness centres and cashless treatment for pensioners were also among the demands.
All about 8th Central Pay Commission
The Eighth Central Pay Commission (8th CPC), approved on October 28, 2025, is expected to submit its report within 18 months, paving the way for implementation from January 2026. As with previous commissions, it arrives like an economic monsoon — long anticipated, widely debated and ultimately inevitable. Established under Article 309 of the Constitution, pay commissions are constituted periodically to revise the salaries and pensions of government employees, ensuring they remain aligned with inflation, rising living costs and broader economic conditions. The 7th CPC had explicitly included pension structure and revision for existing pensioners—a provision missing from the 8th CPC notification issued on November 3.
The Central Pay Commission (CPC) is constituted by the Government of India under Article 309 to review and revise the pay, allowances and pensions of central government employees and defence personnel. Since the first CPC in 1946, seven commissions have been set up, typically once every decade, to ensure compensation keeps pace with economic conditions.
The upcoming 8th CPC is expected to benefit nearly 50 lakh central employees and 65 lakh pensioners. Although states are not obligated to follow CPC recommendations, past trends show widespread adoption, usually within two to three years, using state-specific fitment factors. With states and UTs employing around 1.85 crore people, the 8th CPC will influence the earnings of almost 2.5 crore employees and pensioners nationwide, making it one of the largest pay revisions globally. The fiscal impact will be significant, potentially adding 3.7–3.9 lakh crore annually to combined central and state expenditures.
The Confederation of Central Government Employees & Workers has urged Prime Minister Narendra Modi to amend the Terms of Reference (ToR) of the newly constituted 8th Central Pay Commission (CPC), arguing that crucial concerns of nearly 69 lakh pensioners and family pensioners have been overlooked. In a detailed letter sent on Monday, the Confederation welcomed the formation of the Commission but said the current ToR lacks clarity on several key issues, particularly pension revision, pension parity and the future of various pension schemes.
One of the major objections raised is the absence of a specified implementation date. The Confederation insisted that the 8th CPC must come into effect from January 1, 2026, consistent with the 10-year cycle followed by earlier pay commissions. It also criticised the use of the phrase “unfunded cost of non-contributory pension schemes” in the ToR, calling it inappropriate and insensitive. Citing landmark Supreme Court judgments such as Deokinandan Prasad, D.S. Nakara and Vijay Kumar v. Central Bank of India, it emphasised that pension is a constitutional right under Article 300A and a core element of socio-economic justice—not a fiscal burden to be categorised alongside government liabilities.
The Confederation demanded a clear directive empowering the 8th CPC to examine pension structures comprehensively. This includes revising pensions, ensuring parity irrespective of retirement date, restoring commutation after 11 years, introducing additional pension every five years for senior citizens, improving CGHS access, and restructuring the CGEGIS.
It reiterated its long-standing call for the restoration of the Old Pension Scheme (OPS), arguing that 26 lakh employees who joined service after April 1, 2004, remain deeply dissatisfied with the NPS and the newer Unified Pension Scheme (UPS). The 8th CPC, it said, must evaluate all schemes and recommend the most beneficial option.
The Confederation also sought inclusion of employees of autonomous institutions, statutory bodies and Gramin Dak Sevaks under the 8th CPC’s scope, describing them as integral to government service delivery. Citing rising inflation and delays in the pay commission process, it requested 20% interim relief to safeguard the morale of nearly 1.2 crore serving employees, pensioners and family pensioners. Expanded CGHS wellness centres and cashless treatment for pensioners were also among the demands.
All about 8th Central Pay Commission
The Eighth Central Pay Commission (8th CPC), approved on October 28, 2025, is expected to submit its report within 18 months, paving the way for implementation from January 2026. As with previous commissions, it arrives like an economic monsoon — long anticipated, widely debated and ultimately inevitable. Established under Article 309 of the Constitution, pay commissions are constituted periodically to revise the salaries and pensions of government employees, ensuring they remain aligned with inflation, rising living costs and broader economic conditions. The 7th CPC had explicitly included pension structure and revision for existing pensioners—a provision missing from the 8th CPC notification issued on November 3.
The Central Pay Commission (CPC) is constituted by the Government of India under Article 309 to review and revise the pay, allowances and pensions of central government employees and defence personnel. Since the first CPC in 1946, seven commissions have been set up, typically once every decade, to ensure compensation keeps pace with economic conditions.
The upcoming 8th CPC is expected to benefit nearly 50 lakh central employees and 65 lakh pensioners. Although states are not obligated to follow CPC recommendations, past trends show widespread adoption, usually within two to three years, using state-specific fitment factors. With states and UTs employing around 1.85 crore people, the 8th CPC will influence the earnings of almost 2.5 crore employees and pensioners nationwide, making it one of the largest pay revisions globally. The fiscal impact will be significant, potentially adding 3.7–3.9 lakh crore annually to combined central and state expenditures.