8th Pay Commission: Confederation Writes To PM Modi, Seeks Clarity On 69 Lakh Pensioners' Inclusion

The Confederation of Central Government Employees & Workers has written to Prime Minister Narendra Modi on Monday seeking crucial amendments to the Terms of Reference (ToR) of the newly constituted 8th Central Pay Commission (CPC), urging explicit inclusion of pension revision and pension parity for nearly 69 lakh pensioners and family pensioners.

While welcoming the Ministry of Finance's 8th Central Pay Commission, the Confederation highlighted key omissions impacting employees under the Old Pension Scheme (OPS), Unified Pension Scheme (UPS) and National Pension System (NPS).

It stressed that the ToR does not specify the date of implementation, arguing that the 8th CPC must be made effective from Jan. 1, 2026, in line with the 10-year cycle followed by previous pay commissions.

The Confederation expressed strong concern over the terminology “unfunded cost of non-contributory pension schemes” used in the ToR, describing it as inappropriate, insensitive and contrary to the Supreme Court's repeated affirmation that pension is a constitutionally protected right under Article 300A and a measure of socio-economic justice as held in landmark judgments such as Deokinandan Prasad, D.S. Nakara and Vijay Kumar v. Central Bank of India.

It argued that pension obligations cannot be equated with fiscal liabilities and noted that similar terminology has never been applied to the pensions of MPs, MLAs, judges or constitutional functionaries.

The Confederation requested insertion of a clear mandate for the 8th Central Pay Commission to examine pension structure, pension revision and parity irrespective of date of retirement, along with related matters including restoration of commutation after 11 years, additional pension every five years for senior pensioners, improvements in CGHS services, and an overhaul of CGEGIS.

It also reiterated the demand for restoration of the Old Pension Scheme for the 26 lakh employees recruited after April 1, 2004, who remain dissatisfied with NPS and UPS, urging the 8th Central Pay Commission to evaluate all pension schemes and recommend the most beneficial one.

Additionally, the Confederation sought extension of 8th Central Pay Commission benefits to employees of autonomous and statutory bodies and to Gramin Dak Sevaks, described as vital to the postal network. Highlighting delays in the 8th Central Pay Commission process and rising inflation, it requested 20% interim relief to maintain morale among 1.2 crore employees, pensioners and family pensioners.

It further called for expansion of CGHS wellness centres, cashless treatment for pensioners and broader healthcare reforms.

Prior to this the All India Defence Employees' Federation (AIDEF), in a letter written to Finance Minister Nirmala Sitharaman on Nov. 4, pointed out that the ToR for 8th Pay Commission excludes the portion on examination of "pension and other retirement benefits".

On the other hand, the 7th Pay Commission's ToR explicitly mentioned that the panel will look into the pension structure of employees who have already retired.

Here's what the ToR for 7th Pay Commission stated: "To exаmine the principles which should govern the structure of pension and other retirement benefits, including revision of pension in the case of employees who have retired prior to the date of effect of these recommendations, keeping in view that retirement benefits of all Central Government Employees appointed on and after 01.01.2004 are covered by the New Pension Scheme (NPS)."

This portion, however, is missing from the ToR for the 8th Pay Commission, which was notified by the Department of Expenditure on Nov. 3.