Rules, Rights & Rites -5 - Confederation's Letter to the Prime Minister dated November 15, 2025 _ Request for amendments to the Terms of Reference
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Confederation's Letter to the Prime Minister dated November 15, 2025 _ Request for amendments to the Terms of Reference of the 8th Central Pay Commission and the inclusion of pension revision for pensioners and family pensioners.
• The Confederation appeals for the Prime Minister to issue appropriate amendments to the ToR of the 8th CPC to ensure all the above aspects are included.
• The current ToR for the 8th CPC does not mention the date of effect of its recommendations.
• It is an established practice that Central Government employees' wages, allowances, and pensionary benefits are revised once every 10 years.
• The dates of implementation for previous CPCs were: 4th CPC - 01.01.1986, 5th CPC - 01.01.1996, 6th CPC - 01.01.2006, and 7th CPC - 01.01.2016.
• The 8th CPC recommendations should be automatically and justifiably implemented with effect from 01.01.2026, and this date should be included in the ToR.
• There is no clarity in the current ToR regarding the revision of pension, parity in pension, or other pensionary benefits (like restoration of commutation) for the existing 69 lakh pensioners and family pensioners covered under the Old Pension Scheme, Unified Pension Scheme, and National Pension Scheme.
• The ToR should include a clause to examine the principles governing the structure of pension and other retirement benefits, including revision of pension and parity in pension for employees who retired before or after 01.01.2026.
• The phrase "unfunded cost of non-contributory pension schemes" in Para (e)(ii) of the ToR should be deleted.
• This terminology is seen as inappropriate, equating constitutionally and judicially protected pension entitlements with fiscal liabilities.
• The Supreme Court has affirmed that "Pension is not a bounty" and is a "property right" and a "constitutional right under Article 300A".
• The term "unfunded scheme" has not been used for the pensions of MPs, MLAs, Judges, or other constitutional functionaries, whose pensions are also non-contributory and drawn from the Consolidated Fund of India.
• The 8th CPC should also review and recommend the restoration of commuted value of pension after 11 years and the grant of additional quantum of pension/family pension once in 5 years from the date of retirement, as recommended by the Parliamentary Standing Committee.
• The letter notes that 26 lakh employees recruited after 01.04.2004 are covered under the National Pension System (NPS) or Unified Pension Scheme (UPS).
• These employees are strongly demanding the restoration of the Old Pension Scheme (under CCS Pension Rules 1972/2021) to replace NPS and UPS.
• Employees are dissatisfied with the UPS, with only about one lakh having switched to it, and all preferring the Old Pension Scheme.
• The demand for the restoration of the old pension scheme is not currently included in the ToR, and the Confederation appeals for it to be included so the 8th CPC can examine the existing schemes and recommend the most beneficial one.
• The 8th CPC benefits should be extended to centrally funded Autonomous and Statutory Bodies by the Government of India and to Gramin Dak Sevak (GDS) of the Postal Department.
• Due to the delay in the constitution and implementation of the 8th CPC, 20% interim relief should be granted with immediate effect. This is to offset losses from the delay and inflationary trends, and to boost the morale of the 1.2 crore Central Government employees.
• The commission should review and recommend changes to the health scheme for Central Government employees and pensioners.
• The commission should recommend the opening of more CGHS wellness centres across district headquarters and ensure cashless and hassle-free medical treatment for employees and pensioners.
• The commission should also examine the recommendations of the Standing Committee of Parliament on CGHS and suggest changes.
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