8th Central Pay Commission Formed – What It Means for Odisha Government Employees

The Union Cabinet, chaired by Prime Minister Narendra Modi, has officially approved the formation and terms of reference of the 8th Central Pay Commission (8th CPC), which will review and recommend the salary, allowances, and pension structure for central government employees and pensioners.

Justice Ranjana Prakash Desai, former Supreme Court Judge and current Chairperson of the Press Council of India, will lead the 8th CPC. She will be joined by Prof. Pulak Ghosh from IIM Bangalore as a part-time member and Pankaj Jain, Secretary of Petroleum and Natural Gas, as the Member Secretary.

The Commission has been given 18 months to complete its report, with recommendations expected to take effect retrospectively from January 1, 2026. The government has also allowed the panel to submit interim reports on specific issues if needed.

For Odisha government employees, this development carries major implications. Although CPC recommendations apply directly to central employees, states like Odisha generally follow similar pay matrix structures under the Odisha Revised Scales of Pay (ORSP) framework. This means Odisha may later constitute its own pay revision committee based on the 8th CPC’s findings.

Experts expect the new CPC to focus on revising the basic pay matrix, DA rates, pension structure, and overall rationalization of pay bands. These recommendations could lead to higher starting pay, better increments, and improved retirement benefits for government staff.

Once the 8th CPC report is finalized, Odisha employees can expect the state government to adapt it into the next ORSP Rules 2027, potentially bringing salary revisions across all departments.

The 8th CPC will impact nearly 50 lakh central employees and 69 lakh pensioners across India, setting the stage for the next decade of pay reforms — a development Odisha employees are eagerly awaiting.

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