Pay & Pension Hike Will Not Hit Government Finances

Honorable ,

I stand before you today on behalf of Bharat Pensioners Samaj with a deep concern that affects not just our government employees but the very fabric of our nation’s workforce.

For decades, the minimum salary of our lowest-ranked government employees has been determined using an outdated formula—one that fails to recognize modern realities. The Aykroyd formula, used since the 1st Pay Commission, does not reflect today’s Gender equality ,cost of living, education, proper rearing of children to make them strong ,robust, intelligent citizens,  digital access, or the responsibility of supporting dependent parents. It is time for change.

Let’s talk about fairness. How can we expect dignity in retirement when salaries themselves fail to provide a dignified life? The government, as the model employer, must ensure its employees earn wages that keep pace with inflation and real market costs. The 7th Pay Commission set a minimum of ₹18,000 based on a 3-unit formula, but in today’s world, we need a minimum 5-unit formula that includes one dependent parent—because the law mandates their financial support, and morality too demands it.

We propose a just and sustainable minimum salary of ₹40,000, with an additional ₹5,000 per dependent parent. This isn’t just a demand—it’s a necessity. Education, healthcare, and essential digital access are not luxuries but lifelines for today’s workforce. A just wage does not just support a worker—it strengthens families, fuels economic growth, and secures our nation’s future.

The Supreme Court has repeatedly emphasized that wages must ensure health, dignity, and a life beyond subsistence. The International Labour Organization (ILO) advocates for a dynamic living wage—one that grows with the economy. Yet, year after year, our employees face a squeeze in real pay while their responsibilities only grow.

The Fair Wage Committee once declared: “Industries that cannot pay minimum wages have no right to exist.” I say this—A government that does not ensure a fair wage for its employees and adequate pension to its retirees  cannot be a model employer.

We urge the 8th CPC: Let history remember this Commission as the one that restored fairness and dignity to government employees. Adopt the 4-unit formula. Use real market prices. Ensure ₹40,000 as the minimum pay. Honor those who serve this nation with loyalty and dedication.

A nation that values its employees and pensioners, secures its future!

Thank you.