Union Cabinet Greenlights 8th Pay Commission Terms Ahead of Bihar Elections

The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Terms of Reference for the 8th Pay Commission, a move expected to impact nearly 50 lakh central government employees and 69 lakh pensioners. The commission will be led by retired Supreme Court judge Ranjana Prakash Desai.

The panel is anticipated to present its award by January 1, 2026, following an interim report within 18 months of its formation. Notably, this decision closely aligns with the upcoming Bihar assembly elections scheduled between November 6-11.

The commission, which includes IIM Bangalore's Pulak Ghosh as a part-time member and Petroleum Secretary Pankaj Jain as the Member Secretary, will address salary changes and benefits. Historically, such pay commission recommendations are implemented every decade, with recommendations usually taking effect from January 1.