The upcoming changes of the 8th Pay Commission for central employees will now have a big impact in the salary calculation of every government employee. Especially for those employees whose pay scale is ₹ 29,200, this change will directly impact their pockets.
Fitment factor plays the most important role in deciding this salary increase.
What is fitment factor?
Fitment factor is the multiplier through which the basic salary of the old pay matrix is increased according to the new pay commission. For example, the fitment factor in the 7th Pay Commission was 2.57, which increased the minimum salary of employees from ₹7,000 to ₹18,000. The fitment factor in the 8th Pay Commission is not yet officially decided. Its various estimates in media and expert reports are 1.92, 2.08 and 2.86.
₹29,200 Possible change in pay scale
As per the discussion now, if 1.92 fitment factor is applied, then the new basic salary of Level-5 employees of ₹ 29,200 can reach approximately ₹ 56,064. This estimate is based on existing patterns and suggestions from experts. This change in salary increase will affect only the basic pay. Apart from this, Dearness Allowance (DA), House Rent Allowance (HRA) and other allowances will also be adjusted as per the new basic pay. This means that the total salary package may also increase significantly.
What should employees do?
Employees should carefully wait for the recommendations of the 8th Pay Commission and prepare their financial planning accordingly. The clear figure of the final salary will be revealed only after the fitment factor is decided.