Due to procedural timelines and the lack of budgetary allocations for the revisions in the upcoming fiscal year, central government employees and pensioners expecting salary increases under the recently approved 8th Pay Commission will not experience any financial impact until at least the financial year of 2027.

Union Minister Ashwini Vaishnaw affirmed on January 16, 2025, that the establishment of the 8th Pay Commission had been authorized by the Union Cabinet, which is headed by Prime Minister Narendra Modi. He did not, however, reveal when its chairperson and members would be chosen.
The goal of the 8th Pay Commission is to update pensions and salaries for more than 50 lakh workers and 65 lakh retirees. According to Money Control, which cited a senior Finance Ministry official, the commission's report is unlikely to be completed before March 2026, so funding for its implementation was not included in the 2025–2026 Budget.

The Finance Ministry is still working with departments like Defense, Home Affairs, and Personnel to finalize the commission's scope, according to the reports. Therefore, only after these guidelines are approved—the earliest date for approval is March 2026—can the panel begin work.