Can L10 employees get Rs 34 lakh extra pay in 10 yrs?

The 8th Pay Commission has completed its discussions in Bengaluru and its next stop for meetings is Mumbai. The Pay Commission is set to visit the Maharashtra capital on October 22 and 23, 2026, where it will meet employees’ and pensioners’ bodies and other stakeholders to discuss pay, pension, allowances and work-related matters.

In all of its discussions, the annual increment rate remains a key issue, since it is the only element that changes the basic pay of central government every year.

The annual increment for central government employees stands at 3% as per the 7th Pay Commission rates. However, for the 8th Pay Commission, stakeholders have recommended an annual increment of 5%- 7%.

The new increment rate will be known only when the 8th Pay Commission submits its report. But how might it impact salaries under a new pay commission? Let’s see the estimated basic pay increase for Level 8-10 employees at 3%, 5% and 7% increment rates and a 2.15 fitment factor in 10 years.

Annual increment recommendations for 8th CPC from employee and pensioner bodies

The National Council of the Joint Consultative Machinery (NC-JCM) staff side, the main body of the central government employees, has recommended increasing the annual increment from 3% to 6% in its memorandum submitted to the 8th Pay Commission. The All India Defence Employees’ Federation (AIDEF) and the Federation of National Postal Organisations (FNPO) have also suggested a 6% annual increment rate to the 8th Pay Commission.

The All India New Pension Scheme Employees’ Federation (AINPSEF), however, wants a 7% annual increment rate.

Manjeet Singh Patel, president, AINPSEF, says central government employees wait for 10 years for a major hike in their basic salaries.

Patel estimates that at a 7% increment rate, the gross salary of an employee can double in 7-8 years, and it will get away with dependency on the 10-year pay commission salary revision.

Some employee associations argue that a high increment rate is important for low-level employees posted in cities where expenditure and house rents are high. They believe that a high increment rate can help them meet expenses.

How high increment rate can impact Level 8-10 employees

As per the 7th Pay Commission pay matrix, minimum basic salaries of Level 8 to 10 employees are as follows-

However, once their basic pays are revised in the 8th Pay Commission, these employees will get the annual increment on their new basic salaries.

Since the pay will be revised on the basis of the fitment factor, a high factor means faster salary growth even if the increment rate is the same. If the increment rate is also high, the growth can be faster.

In our salary estimates, we will show how basic salaries of Level 8-10 employees will pan out in 10 years at a 2.15 fitment factor under the 8th Pay Commission. We will also show how much extra basic pay these employees can earn in 10 years at if the annual increment rate increases from 3% to 5% or 7%.

Extra basic pay for Level 8 employee in 10 years at 2.15 fitment factor

Extra basic pay for Level 9 employees in 10 years at 2.15 fitment factor

Extra basic pay for Level 10 employees in 10 years at 2.15 fitment factor