Pensioners of the Central Government are worried they might be left out of the benefits from the 8th Central Pay Commission (CPC). This concern stems from a provision in the Finance Bill 2025, passed in March 2025, which seems to give the government the power to decide whether or not to extend pay fixation and revision benefits to them.
Why the Concern?
The Finance Bill 2025 includes legislation that validates the government’s authority to differentiate among pensioners, even based on their retirement date, especially concerning recommendations from Central Pay Commissions. This validation was made effective from June 1, 1972. The Staff Side (JCM), representing central government employees and pensioners, interprets this as a potential loophole that could deny current pensioners the benefits of the 8th CPC. They report a “growing sense of insecurity and resentment” among retired personnel who expect fair treatment alongside serving employees.
What Pensioners Want
Central Government pensioners are urging the government for a clear answer. They want a formal directive stating that all Central Government pensioners will receive the benefits of pay fixation and revision under the 8th CPC. This, they believe, would remove doubts and ensure fairness and equality in treatment.
Delays and Uncertainty
While the government approved the formation of the 8th CPC in January 2025, aiming for implementation by January 1, 2026, there have been delays in finalizing the Terms of Reference (ToR) and appointing the commission’s members. This delay, coupled with the concerns from the Finance Bill, is creating significant anxiety. The Staff Side (JCM) has appealed to the Cabinet Secretary to speed up these processes.
It’s worth noting that the government has clarified on a separate matter, assuring that Central Government employees switching from the National Pension System (NPS) to the Unified Pension Scheme (UPS) will continue to receive gratuity benefits. However, this doesn’t address the broader concern regarding 8th CPC benefits for all existing pensioners.
The core issue remains: will current pensioners be included in the 8th CPC benefits, or will the Finance Bill 2025 provision allow for their exclusion? Pensioners are simply seeking a definitive answer.