Try GOLD - Free
How pay commissions decide salary hikes of central govt staff
Financial Express Bengaluru
|November 04, 2025
The Eighth Central Pay Commission (CPC)is set to revise the compensation structure for over 4.7 million central government employees & 6.8 million pensioners.
-
The fitment factor serves asa multiplier applied to an employee’s existing basic pay to determine the revised basic pay, explains KR Shanmugam
Rationale for pay revisions
WHILE ANNUAL INCREMENTS (usually 3% of basic pay) reward experience and seniority, and dearness allowance (DA) or dearness relief for pensioners offsets inflationary effects, a pay commission revision represents an overhaul of the entire compensation system. It resets the basic pay, from which future increments and DA accumulate and rebalances pay structure, allowances and pensions.
This story is from the November 04, 2025 edition of Financial Express Bengaluru.
Subscribe to Magzter GOLD to access thousands of curated premium stories, and 10,000+ magazines and newspapers.
Already a subscriber? Sign In
MORE STORIES FROM Financial Express Bengaluru
Financial Express Bengaluru
Five new chocolate boutiques in Paris
Inside Cedric et la Chocolaterie, the new Paris chocolate shop from the celebrity pastry chef Cedric Grolet - a tattooed 40-year-old with boutiques from St Tropez to Singapore - a wall of molten chocolate sluices downward, dazzling the fans who line up daily to enter the hallowed space.
4 mins
December 14, 2025
Financial Express Bengaluru
It’s wok-ing!
From immersive cafes and casual dining to luxe reinterpretations, pan-Asian remains a perennial favourite, with most new openings favouring the cuisine
6 mins
December 14, 2025
Financial Express Bengaluru
Distortion of history, disdain for future
Politicians love to take liberties with history.
3 mins
December 14, 2025
Financial Express Bengaluru
MG Windsor zooms past Tata to take EV crown
FOR THE FIRST time since electric vehicle (EV) sales took off in India in 2020, a non-Tata car will lead a calendar year’s sales.
1 min
December 14, 2025
Financial Express Bengaluru
Through the AI lens
The coming year spells exciting news on the smart glasses front, with Google and Apple to join Meta in the market
3 mins
December 14, 2025
Financial Express Bengaluru
These Al travel influencers don't want freebies
Social media posts by AI-created travel avatars cost far less to produce, yet look real. Human influencers worry they're being elbowed out
3 mins
December 14, 2025
Financial Express Bengaluru
Clampdown in Bangladesh amid unrest
BANGLADESH CHIEF ADVISER Muhammad Yunus-led interim government ordered a nationwide security clampdown as fresh unrest gripped the country following the shooting of a right-wing cultural group's youth leader.
1 min
December 14, 2025
Financial Express Bengaluru
The shot that saves
Time travel across a century of India's vaccine story
4 mins
December 14, 2025
Financial Express Bengaluru
A myth & its unmaking
A dismantling of the idea of progress, forcing a rethink what it means to advance at all
4 mins
December 14, 2025
Financial Express Bengaluru
Nvidia to increase H200 chip output: Sources
Reportedly orders from China exceed current output
1 mins
December 14, 2025
Listen
Translate
Change font size