8th Pay Commission January 2026 salary hike delay likely, but here's why you should not worry

Even as Central Government employees and pensioners are eagerly waiting for an update on the formation of the 8th Central Pay Commission (CPC), several media reports claim that the new pay panel may miss the January 2026 salary hike deadline.

Earlier, it was speculated that the 8th CPC would be set up in May, but the month is already over, and there is no official word on any progress in the formation of the 8th CPC. This has fueled further speculation about the delay in the implementation of the 8th CPC-based salary hike from January 2026.

According to an ET online report, senior officials have confirmed that internal discussions regarding the formation of the new pay panel are underway, but "the rollout may stretch well beyond the expected January 1, 2026 timeline."

Given the pace of the bureaucratic process, it can be assumed that it may take a few more months to set up the 8th CPC. And in case the new pay panel is set up by the end of this year, it may take another 1-2 years to submit its recommendations for implementation.

The delay in the formation of the 8th CPC will not affect employees' pay hikes. Although it may not happen literally from January 1, 2026, whenever the pay hikes are implemented, the employees and pensioners are most likely to be paid arrears for the missed months. More so because the tenure of the 7th CPC is ending in 2025, therefore, the new pay panel should come into effect by default from January 1, 2026.