Tue Oct 28 10:20:00 UTC 2025: ## Union Cabinet Approves Terms of Reference for 8th Central Pay Commission
NEW DELHI, October 28, 2025 – The Union Cabinet has officially approved the Terms of Reference for the 8th Central Pay Commission (CPC), marking a significant step in the process of revising pay scales and retirement benefits for central government employees. The announcement was made today, Tuesday, October 28, 2025.
The 8th CPC, initially formed in January 2025, is tasked with examining and recommending adjustments to the salaries and benefits of central government personnel. The commission will consist of a chairperson, a part-time member, and a member-secretary.
The government has stipulated a deadline of 18 months from the date of the commission’s constitution for the submission of its recommendations.
The 8th CPC faces a complex landscape of considerations, including the nation’s economic climate, the imperative of fiscal responsibility, and the need to allocate sufficient resources for developmental projects and social welfare initiatives. The commission is also expected to analyze the financial implications for states, the existing compensation structures of central public sector undertakings and the private sector, and the burden of unfunded non-contributory pension schemes.
The government has authorized the 8th CPC to submit interim reports on specific issues under its consideration as and when those recommendations are finalized.
The formation of the 8th CPC is a critical development for millions of central government employees and will have far-reaching implications for the national economy.