8th Pay Commission faces pension revision demand from retirees

The 8th Pay Commission has now completed more than half of its allocated 18-month period since its constitution on 3 November 2025. The consultative and discussion process of the Commission, headed by Justice Ranjana Prakash Desai, has entered into its business end.

For central government employees who retired before 1 January, the revision of pension and family pension has emerged as a key demand.

To improve the livelihoods of pensioners and their families, the Bharat Pensioners' Samaj (BPS) and All India Defence Employees' Federation (AIDEF) have requested the central government to amend the Commission's Terms of Reference (ToR) to cover pension revision, pension parity and other associated retirement benefits for existing pensioners and family pensioners.

Over the last few months, the AIDEF has written several letters to the Finance Ministry and the Cabinet Secretary, stating that the current ToR does not categorically address the revision of pensions for past pensioners, parity between past and future pensioners, the revision of family pensions or other retirement benefits. Hence, it has proposed adding a provision to revise pensions and pensionary benefits under applicable pension schemes, including for employees retiring before or after 1 January 2026.

AIDEF also objected to the ToR reference to the 'unfunded cost of non-contributory pension schemes', arguing that pension earned through government service should not be treated merely as an unfunded liability.