TestCloud
Prep • Practice • Perform
Log In

Cabinet Approves Formation of 8th Central Pay Commission (CPC).

National | Dated: 30 Oct 2025

The Union Cabinet approved the Terms of Reference (ToR) for the 8th Central Pay Commission (CPC). The commission will revise salaries and pensions for nearly 5 million Central Government employees and 6.9 million pensioners. The new pay and pension hikes are expected to be implemented retrospectively from January 1, 2026.

🎯 Key Highlights:

  • The commission is set to revise salaries and pensions for nearly 5 million Central Government employees.
  • The recommendations are expected to be implemented with retrospective effect from January 1, 2026.
  • The commission will be headed by former Supreme Court judge Ranjana Prakash Desai.

💡 Other Important Facts:

  • Commission will consider economic conditions and fiscal prudence.
  • It will also assess the impact on state government finances.
  • The 7th CPC resulted in a 157% increase in minimum basic pay.

📚 Test Your Knowledge:

Which commission’s Terms of Reference were recently approved by the Union Cabinet to revise government salaries?

Correct Answer: 8th Central Pay Commission

🚀 Quick Recap:

About Central Pay Commission (CPC)

  • Purpose: Periodically review emoluments and service conditions of central government employees, Frequency: Usually every 10 years.
  • 8th CPC Chairperson: Justice Ranjana Prakash Desai, Implementation Date: Expected from January 1, 2026.