8th Pay Commission: Rising Dearness Allowance Points to Strong Fitment Factor, Boosting Hopes for Central Government Staff
New Delhi, February 24, 2026 — Fresh data on the Dearness Allowance (DA) is providing central government employees and pensioners with one of the first clear indications about what to expect from the much-anticipated 8th Pay Commission. With DA now around **60% under the 7th Pay Commission calculations, experts say the fitment factor in the upcoming pay panel is unlikely to be lower than 1.60 — setting an early benchmark for salary revisions.
Dearness Allowance — an inflation-linked cost-of-living adjustment added to base pay — has risen steadily in recent years and now forms a substantial part of the total remuneration for government workers. Mathematically, a basic salary indexed at 100 plus 60% DA effectively equals 160, which translates to a fitment factor of 1.60 — the multiplier used to revise basic pay.
Analysts and employee unions point out that this 1.60 figure is a minimum logical floor. If the panel’s recommendations and government decisions lag — which historically can take two years or more — DA is likely to climb further. Some forecasts suggest DA levels could touch 80–90%, making higher fitment multipliers (1.8 or above) more realistic by the time the new pay structure is implemented.
The fitment factor has significant implications beyond basic pay. It directly influences pensions, House Rent Allowance (HRA), Transport Allowance, and overall take-home earnings under the new pay structure. With the government yet to officially announce the implementation timeline and fitment recommendations, employees continue to watch DA announcements and inflation trends closely.
As discussions intensify around the 8th Pay Commission, a fitment factor anchored by current DA levels could mark a notable uplift in government salaries, aligning remuneration more closely with rising living costs.
