8th Pay Commission: NC-JCM Submits Full List of Salary & Pension Demands

NEW DELHI — The National Council – Joint Consultative Machinery (NC-JCM), the umbrella representative body for central government employees, has submitted its detailed memorandum to the 8th Central Pay Commission (CPC) in New Delhi, demanding a minimum basic pay hike to ₹69,000 per month, a 3.833 fitment factor, and the full reinstatement of the Old Pension Scheme (OPS).

The extensive submission outlines major reforms governing salaries, annual increments, retirement benefits, and working conditions for nearly 50 lakh active central government employees and over 65 lakh pensioners. With the 8th Central Pay Commission, chaired by former Supreme Court Justice Ranjana Prakash Desai, actively gathering feedback and conducting stakeholder meetings across states, these proposals represent the official baseline for upcoming pay negotiations.

Major Overhaul Proposed for Base Salary and Fitment Factor

Central to the NC-JCM memorandum is a proposal to raise the minimum basic pay from the current 7th Pay Commission baseline of ₹18,000 to ₹69,000 per month for entry-level (Group C) employees. To achieve a proportionate upward adjustment across all 18 pay levels, the union body has recommended applying a uniform fitment factor of 3.833 for both serving personnel and retirees.

The employee panel has further demanded doubling the annual increment rate from 3 percent to 6 percent, citing cumulative cost-of-living increases and inflation. Additionally, the NC-JCM has advocated merging multiple pay levels such as merging Level 2 and Level 3 into Level 3, and Level 4 and Level 5 into Level 5 to streamline administrative structures and address career stagnation.

Pension Restorations and Gratuity Ceiling Extensions

Addressing social security for retirees, the NC-JCM has called for abolishing both the National Pension System (NPS) and the Unified Pension Scheme (UPS) in favor of restoring the guaranteed, non-contributory Old Pension Scheme (OPS). The submission emphasizes that market-linked retirement schemes do not provide adequate long-term financial certainty for civilian staff.

Key financial demands for pensioners and retiring personnel include:

• Gratuity Cap Extension: Raising the maximum Death-cum-Retirement Gratuity (DCRG) ceiling from ₹25 lakh to ₹75 lakh, calculated on 25 effective working days per month.

• Pension Commutation Period: Reducing the pension commutation recovery timeframe from 15 years down to 11 years.

• Full Pension Formula: Increasing the basic pension calculation rate from 50 percent to 67 percent of the last pay drawn.

• Age-Linked Enhancements: Introducing a 5 percent additional pension increase every five years after superannuation, starting at age 65.

Sweeping Expansion of Leave Encashment and Allowances

The memorandum proposes significant updates to employee leave structures and allowances. The NC-JCM recommends doubling the maximum earned leave (EL) encashment limit upon retirement from 300 days to 600 days, alongside permitting employees with 20 years of service to encash up to 50 percent of accumulated leave during active duty.

In terms of family and medical benefits, the employee body demands increasing maternity leave to 240 days without two-child restrictions, expanding paternity leave to 45 days, and establishing 60 days of parent care leave throughout an employee's career. For education, the union requests boosting the Children Education Allowance (CEA) to ₹10,000 per month per child through post-graduation, with hostel subsidies raised to ₹35,000 monthly.

Official Sources Section

Proposals and statistical figures detailed in this report are based on official memorandum submissions, public records, and administrative filings issued by the National Council (Staff Side) Joint Consultative Machinery and formal proceedings released under the 8th Central Pay Commission.

Quote Section

"According to officials and representative leaders from the NC-JCM, the submission reflects the minimum structural adjustments required to restore purchasing power, ensure dignified retirement security, and resolve career stagnation across all central government cadres."

Why It Matters

The demands put forward by the NC-JCM set the baseline for wage negotiations impacting over 1.15 crore public sector beneficiaries across India. If accepted by the Pay Commission and approved by the Union Cabinet, the revised pay matrix and pension frameworks will reshape fiscal allocations, boost consumer spending, and redefine public administration compensation models for the next decade.

Key Facts at a Glance

• Minimum Basic Pay: Proposed increase to ₹69,000 per month for Group C personnel.

• Fitment Factor: Demand for a uniform 3.833 fitment multiplier across active employees and retirees.

• Pension Reform: Reinstatement of the Old Pension Scheme (OPS) and reduction of commutation recovery to 11 years.

• Gratuity & Leave: Maximum gratuity ceiling requested at ₹75 lakh, with leave encashment capped at 600 days.

Frequently Asked Questions

What is the primary salary demand made by the NC-JCM for the 8th Pay Commission?

The NC-JCM has demanded a minimum basic pay of ₹69,000 per month, supported by a 3.833 fitment factor and a 6 percent annual increment rate.

Does the proposal include restoring the Old Pension Scheme (OPS)?

Yes, the memorandum calls for replacing the National Pension System (NPS) and Unified Pension Scheme (UPS) with the guaranteed Old Pension Scheme (OPS) for all central personnel.

What changes are proposed for leave encashment and gratuity limits?

The union body has requested increasing the retirement leave encashment cap from 300 to 600 days and elevating the maximum gratuity ceiling to ₹75 lakh.

Source: Official memorandum filings and press updates from the National Council (Staff Side) Joint Consultative Machinery and official notices from the Ministry of Finance.