8th Pay Commission: The Eighth Pay Commission, established for central government staff, is currently active in preparing its recommendations for submission to the government. It is anticipated that the recommendations will be presented to the government in the first half of 2027. Meanwhile, various employee groups are persisting with their requests. Notably, the Bharat Pensioners Samaj (BPS) and the All India Defence Employees Federation (AIDEF) have put forth two significant demands. One of these demands pertains to modifications in the terms and conditions of the Pay Commission. The government’s decision on this matter remains to be seen.
Demands made by the organizations
Alteration of the Pay Commission’s Terms of Reference (ToR): BPS and AIDEF are urging the central government to revise the ToR of the 8th Pay Commission. They are particularly emphasizing the removal or modification of the phrase “unfunded cost of non-contributory pension schemes” from the ToR. Additionally, they are advocating for the explicit inclusion of the revision of pensions and family pensions for central government retirees before January 1, 2026, within the purview of the 8th Pay Commission.
Both AIDEF and BPS are raising objections to the term “unfunded cost of non-contributory pension schemes” in the ToR of the 8th Pay Commission. AIDEF argues that pensions provided under the old pension scheme are an entitlement based on an employee’s years of service to the government, and should not be solely considered as an unfunded liability of the government. BPS, representing around 1 million central government pensioners, and AIDEF, the largest association of civilian employees in the defense sector, are apprehensive.
Despite verbal assurances to safeguard the pension rights of 69 lakh central government pensioners, the government has not addressed any alterations in the pension and family pension for retirees before January 1, 2026, in the ToR of the 8th Pay Commission.
In a letter dated August 4, 2026, addressed to the Cabinet Secretary and Chairman of the National Council – Joint Consultative Machinery, AIDEF General Secretary C. Srikumar highlighted that the government has not made any amendments concerning 69 lakh central government pensioners and family pensioners. AIDEF points out that the ToR of the 8th Pay Commission lacks specific provisions related to the revision of pensions for old pensioners who retired before January 1, 2026, ensuring parity between old and new pensioners, updating family pensions, and reviewing other post-retirement benefits.
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