The 8th Pay Commission has received a demand for a 3.83 fitment factor from the All India Federation of Pensioners Association (AIFPA) during its recently concluded consultation meetings in Chennai, as per a report by The Economic Times.

The pensioner’s body has requested a minimum basic pay of ₹69,000, marking a substantial increase from ₹18,000 under the 7th Pay Commission. Do keep in mind that this revision, if accepted, will be implemented after 10 years, thereby justifying the unions’ demands urging the government to revise payments in line with rising inflation and lifestyle challenges.

Still, the central question is: Can the 8th Pay Commission recommend such an increase? What are the hurdles it can face?

The demand comes amid rising expectations among central government employees, pensioners and associated stakeholders for a meaningful revision in salaries and pensions. But a proposed fitment factor is not the same as the approved salary hike.

Furthermore, the 8th Pay Commission, which was constituted as a temporary body on 3 November 2025, was permitted 18 months by the central government to submit its final report, of which more than 10 months have already elapsed.

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The final report of the 8th Pay Commission panel headed by Justice Ranjana Prakash Desai is tentatively expected to be tabled in about 8 months from today, in May-June 2027.

8th Pay Commission: How pensioners’ body arrived at 3.83 fitment factor

The proposed fitment factor discussed above is linked with the minimum basic pay sought by employees and pension organisations. In the 7th Pay Commission, the minimum basic pay was fixed at ₹18,000. Now applying the proposed 3.83 fitment factor multiplier gives:

₹18,000 × 3.83 = ₹68,940

This is approximately ₹69,000, the minimum basic pay demanded by the pensioners’ body.

Several employee unions and organisations have listed similar demands. This includes demands raised by the National Council of the Joint Consultative Machinery (NC-JCM), the All India Defence Employees Federation (AIDEF), the Federation of National Postal Organisations (FNPO), and the All India New Pension Scheme Employees Federation (AINPSEF).

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Most of these organisations have proposed a fitment factor of 3.833 and a minimum basic pay of ₹69,000. Bharatiya Pratiraksha Mazdoor Sangh (BPMS) is yet another prominent employee union that has proposed an even higher fitment factor of 4x, requesting a minimum pay of ₹72,000. The Indian Railways Technical Supervisors’ Association has proposed a graded, multi-tier fitment factor matrix ranging from 2.92 to 4.38.

These demands are primarily based on intensive calculations by the respective unions and their assessments of household expenses, essential goods and services, and the income required to meaningfully support a family.

Can the 8th Pay Commission give a 3.83 fitment factor?

Adhil Shetty, CEO, BankBazaar, pointed out that the fitment factor will play a central role in determining the revision of basic pay under the 8th Pay Commission. “However, its impact needs to be viewed alongside how allowances, pensions, and other components of the compensation structure are revised. The overall change in income will depend on how these elements are aligned in the final recommendations,” Shetty noted.

“In that sense, the fitment factor serves as a starting point, while the combined effect of all revisions will ultimately shape employees’ and pensioners’ financial outcomes and influence their spending, saving, and borrowing decisions,” He added.

Throughout this discussion, the 7th Pay Commission serves as an important reference point. The NC-JCM had reportedly demanded a 3.71 fitment factor at the time, but the government approved 2.57. Now, this does not mean that the 8th Pay Commission will follow the same approach; however, it does show that employee and pensioner demands may differ from the final fitment factor multiplier.

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The 3.83 fitment factor could significantly raise basic pay if it is accepted by the 8th Pay Commission panel. However, it remains a proposal, not a confirmed revision.

The final fitment factor, basic pay, allowances, and pension revision will depend on the 8th Pay Commission’s recommendations and the government’s eventual decision. Until then, employees and pensioners should treat ₹69,000 as a demand rather than an assured salary revision figure.

Disclaimer: This article discusses proposals and estimates related to the 8th Pay Commission. The final fitment factor, salary revision and pension revision will depend on official recommendations and government approval.