Pension has become the biggest responsibility for the central government
Salary vs Pension: A shocking picture has been revealed from the latest budget profile of the Central Government.
Now the government’s expenditure on pension has exceeded its salary spending. In the budget of 2025-26, it is estimated to spend ₹ 2.77 lakh crore on pension and ₹ 1.66 lakh crore on salary. The series started from 2023-24 and still continues.
This change is being seen from 2023-24, when the pension cost more than the salary for the first time. Since then this difference has been increasing continuously. This trend has not only questioned the structure of government spending, but has also shown that the number of government jobs has decreased or the salary item has been restructured.
In today’s era, when the youth are looking for permanent government jobs and millions of candidates are preparing for UPSC, SSC, Bank and Railways, the government has been questioning the policy of cutting salary items and the policy of putting the allowances in separate category.
The government has started counting the allowances in the category of ‘other allowances’ by separating the allowances from ‘salary’. This did not change the total expenditure, but the ‘salary’ is seen to be decreasing. This can also affect the coming 8th Pay Commission, which is to be implemented from 2027. If the government continues to give priority to allowances instead of increase in salary, then it will not be beneficial for the newly recruited employees. In addition, it also questions the government’s intention whether it will fully implement the recommendations of the Pay Commission.
The youth population of the present India, which considers government employment as a safe future, can be affected by such changes. In this economic policy, debate on transparency and durability may increase further, especially at a time when the country needs a strong strategy on issues like employment, development and social security. This new trend of the government has also increased the concern among the employees that instead of increases, the policy of payment through allowances should not be extended. In such a situation, all eyes are now on the report of the 8th Pay Commission and the process of its implementation.