India's 8th Pay Commission faced with demand to raise basic salary to Rs 69,000

Central government employee unions are pressing the 8th Pay Commission to lift the minimum basic salary from the current Rs 18,000 to roughly Rs 69,000. The request hinges on adopting a higher fitment factor of about 3.83, which could boost basic pay by up to 65 %. The unions also seek the merger of Dearness Allowance with basic pay and larger hikes in House Rent, Transport and other allowances.

If implemented, the change would affect around five million active employees and seven million pensioners, impacting a large segment of the Indian middle class. The commission’s eight‑member delegation, led by Member Secretary Pankaj Jain, is conducting a two‑day round‑table in Bhubaneswar to hear grievances from staff and retirees. No official decision has been announced; the final commission report is expected by mid‑2027, and experts warn that the proposed increase could place a significant fiscal strain on central and state budgets.