8th CPC: Can terms of reference be amended?
The Bharat Pensioner Samaj (BPS) and the All India Defence Employees’ Federation (AIDEF) have penned a letter to the central government seeking an amendment to the terms of reference (ToR) of the 8th Pay Commission. Their request pertains to including clauses related to pension and family pension revision for retirees who commuted before January 1, 2026.
Moreover, they urge the government to remove the clause 'unfunded cost of non-contributory pension schemes' from the ToR, as they believe this clause may portray them as a liability instead of ensuring their financial security.
The central government has not yet decided whether to grant or deny their request. However, the more pertinent question is whether the ToR of a pay commission can be altered. Having a look at the past, the terms of reference of a pay commission have been amended several times. The 8th CPC's ToR was notified in November 2025.
Throughout history, instances of ToR amendments for pay commissions have been observed. In the 5th Pay Commission, the ToR underwent four amendments. Initially notified on April 1994, the first amendment took place in January 1995, granting an interim relief to employees and incorporating 20% dearness allowance into the basic pay for gratuity calculations.
The second amendment in July 1996 provided more interim relief. The third amendment in October 1996 excluded members of the subordinate judiciary from consideration, while the fourth amendment in November 1996 sought examination of various methodologies for productivity-linked bonuses.
The 6th Pay Commission also witnessed amendments to its ToR. It was initially notified on October 5, 2006, and later revised twice. The first modification came on December 7, 2006, adding a clause concerning the structure of pay, allowances and other facilities for 'members of regulatory bodies (excluding the RBI)'. The second amendment on August 8, 2007, extended the scope to cover the salary structure of officers and employees of the Supreme Court of India.
The amendments in the previous three pay commissions indicate a pattern of flexibility in altering the ToR as per the necessary requirements. It remains to be seen if the central government will make any changes to the 8th CPC ToR, incorporating the demands of AIDEF and BPS concerning pension and family pension revision for numerous pensioners.
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