8th Pay Commission salary hike: The likely fitment factor under 8th CPC and how much will be your actual gain?
Ever since the central government announced terms of reference and appointed the chairman and members of the 8th CPC early in November, employees and pensioners have been keen to know about their payout rise. The increase will be decided on the basis of the fitment factor, which is a multiplier for the pension and pay revision in a pay commission.
But how does a pay commission decide on a fitment factor, and what can be the possible fitment factor for the 8th Commission? Get answers to these questions:
How is the fitment factor formed for a pay commission?
Ramachandran Krishnamoorthy, Director - Payroll Services, Nexdigm, says the fitment factor is usually decided by the employer, pay commission, or the compensation committee based on several economic and organisational considerations.
