With the 8th Pay Commission discussions gathering pace, employees at the entry levels of government service are eagerly watching for signs of possible pay hikes. One key variable in the salary revision process is the fitment factor—a multiplier applied to current basic pay to arrive at the revised pay scale.
Based on trends from earlier commissions, the upcoming fitment factor could range from 1.92x to 2.86x, influenced by inflation levels, fiscal capacity, and whether Dearness Allowance (DA) is merged with basic pay.
If you're drawing a basic salary of ₹20,300 under Grade Pay ₹1800 (Level 1), here’s how your salary may be revised under different fitment scenarios.
Revised Basic Pay: ₹38,976
What It Means:
This is a modest revision, likely if DA is merged before fitment. It offers a decent increase while balancing government spending concerns.
Revised Basic Pay: ₹40,600
What It Means:
A clean doubling of pay this fits well with inflationary trends and provides a practical update without being fiscally aggressive.
Revised Basic Pay: ₹58,058
What It Means:
This estimate mirrors the precedent set by the 7th Pay Commission’s 2.57x multiplier. If adopted, this factor would significantly boost take-home pay for entry-level staff.
Read More:8th Pay Commission: Retirees Hope for Shorter Pension Recovery Window.
The 7th Pay Commission applied a 2.57x fitment factor, raising the minimum basic pay from ₹7,000 to ₹18,000. For the 8th CPC, fitment factors are expected to vary depending on whether the existing DA (currently at 55%) is merged into the base before applying the multiplier.
The big question remains: Will DA be merged? If it is, the resulting revised pay may appear lower under a higher multiplier because part of the increase is already accounted for via DA. In such cases, even a 1.92x multiplier could yield a solid overall hike.
However, if DA continues to be paid separately post-revision, a higher fitment factor like 2.86x would make a more dramatic difference in monthly take-home amounts.
Read More: 8th Pay Commission: Salary Hike for Level 3 Govt Employees — Here's What to Expect.
Conclusion
While the final fitment factor under the 8th Pay Commission remains unconfirmed, this analysis of a ₹20,300 basic pay across three different scenarios provides useful insight for Level 1 employees. As the government weighs fiscal options and inflationary pressure, the direction it takes will have lasting impact on salaries across departments.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Published on: Jul 2, 2025, 12:39 PM IST
Neha Dubey
Neha Dubey is a Content Analyst with 3 years of experience in financial journalism, having written for a leading newswire agency and multiple newspapers. At Angel One, she creates daily content on finance and the economy. Neha holds a degree in Economics and a Master’s in Journalism.
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