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    8th Pay Commission: Central Govt Employee Body Demands 3.25 Fitment Factor, 5% Annual Hike | Business News

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    FNPO has proposed higher salaries and a multi-level fitment factor for the 8th Pay Commission, with recommendations sent to NCJCM and Ranjana Prakash Desai for review.

    The dearness allowance is an integral part of a government employee's overall pay structure.

    The dearness allowance is an integral part of a government employee’s overall pay structure.

    The Federation of National Postal Organisations (FNPO) has formally submitted its suggestions for the 8th Pay Commission, focusing on higher salaries, better increments, and a revised pay structure for postal employees across all groups.

    The recommendations have been sent to the National Council (Joint Consultative Machinery), which is currently collecting inputs from various central government employee bodies.

    The staff side of the National Council (Staff Side) of NC-JCM has initiated the process of preparing its memorandum for the 8th Central Pay Commission, signalling that formal work related to pay revision demands has begun.

    According to an official communication dated January 20, 2026, office accommodation has already been allotted to the 8th Pay Commission at Chandralok Building, Janpath, New Delhi. Once the commission becomes operational, employee representatives are expected to submit a memorandum covering common service matters of central government employees.

    NCJCM Meeting On February 25

    As reported by ET Wealth, Sivaji Vasireddy, Secretary General of FNPO and a member of NCJCM (Staff Side), said that:

    NCJCM will meet draft committee members on February 25, 2026

    Inputs from all employee organisations will be reviewed

    A final recommendation report will then be sent to 8th Pay Commission chairperson Ranjana Prakash Desai

    The final draft will cover:

    • Fitment factor
    • Minimum and maximum wages
    • Allowances (including for Railway staff)
    • Overall pay structure
    • This was confirmed to ET Wealth Online by Vasireddy.
    • Multi-Level Fitment Factor: 3.0 to 3.25 Proposed

    One of FNPO’s key demands, as reported by ET Wealth, is a graduated fitment factor instead of a single uniform number.

    FNPO argues that earlier pay commissions did not apply rationalisation evenly across levels. To correct this, it has proposed different multipliers ranging from 3.0 to 3.25, depending on seniority.

    “Our fitment factor calculation is based on the Akroyd formula, assuming a four-member family,” Vasireddy told ET Wealth.

    What Is the Akroyd Formula?

    The Akroyd formula, which was developed by Dr Wallace Akroyd, estimates minimum living wages.

    Considers:

    • 2,700 calories of food per adult
    • Clothing
    • Housing and other basic needs
    • Level-Wise Fitment Factor Proposal

    According to ET Wealth, FNPO has suggested the following structure:

    1. Lower Levels (Level 1 to 5)

    Uniform fitment factor: 3.00

    Aim: Strong wage correction where real incomes have eroded the most

    2. Mid Levels (Level 6 to 12)

    Fitment factor: 3.05 to 3.10

    Reason:

    Higher skill requirements

    Supervisory roles

    Increased responsibility

    3. Senior Administrative Levels (Level 13 to 15)

    Moderate increase

    Designed to reward leadership roles

    Avoids sharp salary jumps

    4. Apex Levels (Level 16 onwards)

    Highest factors (up to 3.25)

    Applied selectively

    Prevents pay compression and hierarchy issues

    FNPO told ET Wealth that this approach is in line with earlier pay commissions, including the 7th CPC.

    FNPO Illustrative Pay Structure for 8th Pay Commission

    Level Status / Category 7th CPC Entry Pay (Rs) Fitment Factor Proposed Minimum Pay – 8th CPC (Rs)
    Level 1 Entry Level (Group C) 18,000 3.00 54,000
    Level 2 Group C 19,900 3.00 59,700
    Level 3 Group C 21,700 3.00 65,100
    Level 4 Group C 25,500 3.00 76,500
    Level 5 Group C 29,200 3.00 87,600
    Level 6 Group B Entry 35,400 3.05 1,08,000
    Level 7 Group B 44,900 3.05 1,37,000
    Level 8 Group B 47,600 3.05 1,45,200
    Level 9 Group B 53,100 3.05 1,62,000
    Level 10 Group A Entry 56,100 3.10 1,74,000
    Level 11 Group A 67,700 3.10 2,09,900
    Level 12 Group A 78,800 3.10 2,44,300
    Level 13 Senior Administrative 1,18,500 3.05 3,61,500
    Level 13A Senior Administrative 1,31,100 3.05 3,99,900
    Level 14 Senior Administrative 1,44,200 3.15 4,54,300
    Level 15 HAG 1,82,200 3.15 5,74,000
    Level 16 HAG+ 2,05,400 3.20 6,57,300
    Level 17 Apex Scale 2,25,000 3.25 7,31,300
    Level 18 Cabinet Secretary 2,50,000 3.25 8,12,500
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