⚡ BUDGET 2026 COUNTDOWN
8th Pay Comm | 60% DA | Tax Slab Revision
By Admin | January 7, 2026 | Topic: Pay Commission News
Budget 2026: Will 8th Pay Commission be Announced? Top 3 Expectations for Central Govt Employees
NEW DELHI: With the Union Budget 2026 just weeks away (February 1), the anticipation among 1.1 crore central government employees and pensioners is at an all-time high. While the DA Hike to 60% is virtually confirmed, all eyes are now on Finance Minister Nirmala Sitharaman for the official roadmap of the 8th Pay Commission.
1. 8th Pay Commission: Setup & Arrears
Typically, Pay Commissions follow a 10-year cycle. Since the 7th CPC was implemented in Jan 2016, the 8th Central Pay Commission (CPC) is technically due from January 1, 2026.
- ✅ Expected Announcement: Setup of the Commission likely in Budget 2026 speech.
- ✅ Effective Date: Jan 1, 2026 (Retrospective Implementation).
- ✅ Arrears: If the report takes 18 months, employees will receive substantial arrears starting from Jan 2026.
Check your potential salary using our 8th Pay Salary Calculator »
2. DA Merger & Allowances Update
The Labour Bureau data confirms that the AICPI-IW index has pushed the Dearness Allowance to 59.93%, which rounds off to 60% effective Jan 2026.
Since DA has crossed 50%, HRA rates have already been revised to 30%, 20%, and 10%. No further automatic revision is expected until DA crosses 100%, unless the 8th CPC intervenes.
Salaried employees are demanding the Standard Deduction to be raised from ₹75,000 to ₹1 Lakh in the upcoming budget to combat inflation.
👴 Pensioners’ Corner: Restoration of OPS?
The Joint Consultative Machinery (JCM) has strongly demanded the restoration of the Old Pension Scheme (OPS) or a guarantee of 50% last pay drawn under NPS. While the government has introduced the Unified Pension Scheme (UPS), unions continue to push for OPS in the pre-budget memorandum.