The Union Government, in a welcome move for over 45 lakh Central Government employees and around 55 lakh central government pensioners has recently declared setting up of the 8th Central Pay Commission (CPC). Looking at the stance of the PM Modi led central government and the recommendations of the 7th CPC, setting up of the 8th CPC was looking unlikely. However, sudden approval of the 8th pay commission by the PM Modi Cabinet was a surprise for employees.
With the declaration of the 8th CPC, the biggest question doing rounds among the Government employees is the ‘Fitment factor/Multiplication factor’ which the 8th CPC will propose. ‘Fitment factor/ Multiplication factor’ is the number by which Basic pay of the existing employees is multiplied to arrive at the new Basic pay in the revised pay structure. In simple terms, higher the multiplication factor, higher will be the Baisc pay in the revised pay commission. The fitment factor in the 7th CPC was 2.57.