The 8th Central Pay Commission’s three-day consultation in Chandigarh concludes on September 18, 2026, with central government employees, unions, associations and other stakeholders presenting their demands on salary, pension, allowances and related benefits.
The Commission’s official schedule confirms that the Chandigarh visit is being held from September 16 to 18 for consultations with stakeholders from the region. Its next scheduled state visit is to Bengaluru on October 7 and 8.
Among the issues raised in submissions to the Pay Commission is the proposed revision of the Central Government Employees Group Insurance Scheme (CGEGIS). Employee organisations have sought higher insurance coverage and changes to the contribution structure, arguing that the existing cover has not kept pace with changing financial requirements.
The 8th Pay Commission has not announced any final decision on CGEGIS revision, fitment factor, pension revision or other employee demands.
CGEGIS Revision: What Employee Unions Are Demanding
CGEGIS provides central government employees with insurance protection along with a savings component. According to the Federation of National Postal Organisations (FNPO), the insurance slabs have remained linked to levels dating back several decades. FNPO has cited the Group C insurance cover as ₹1.5 lakh and has sought a substantial revision.
Different employee organisations have submitted proposals for increasing the insurance benefit.
The Ministerial Staff Association (MSA), Survey of India, has called for the insurance cover to be increased by at least 10 times the existing rates. The association has linked its proposal to rising living costs and the need for greater financial protection for employees and their families.
The FNPO has proposed insurance coverage of ₹1 crore for Group C, ₹1.5 crore for Group B and ₹3 crore for Group A. Under its proposal, monthly contributions would be ₹1,000, ₹1,500 and ₹3,000, respectively.
As an alternative, the FNPO has also sought implementation of the insurance slabs recommended by the 7th Pay Commission — ₹15 lakh for Group C, ₹25 lakh for Group B and ₹50 lakh for Group A — with further revision in line with current salary levels.
The NCJCM Staff Side has also sought a substantial enhancement of CGEGIS insurance coverage. The Railway Senior Citizens’ Welfare Society (RSCWS), meanwhile, has called for the scheme’s benefits to be updated in line with present financial requirements and long-term contributions.
Why Employees Want CGEGIS Changed
The FNPO has proposed changes not only to the insurance amount but also to the way CGEGIS contributions are divided between insurance and savings.
The existing structure has a 30:70 split between the insurance and savings components. The FNPO has proposed changing the arrangement to 70:30 in favour of insurance protection. It has also suggested an automatic 25% increase in insurance coverage whenever the Dearness Allowance crosses 50%.
The organisations’ submissions reflect their view that the present level of insurance protection does not adequately correspond with current financial requirements. However, these remain demands submitted to the Pay Commission and are not approved changes to the scheme.
The Department of Expenditure continues to publish CGEGIS benefit tables under the existing scheme. Its latest circular listing includes the table of benefits for the period from July 1 to September 30, 2026.
8th Pay Commission: What Happens Next?
The 8th Central Pay Commission was constituted by the government through a notification dated November 3, 2025. The Commission is headed by Justice Ranjana Prakash Desai, with Prof Pulak Ghosh as part-time member and Pankaj Jain as member-secretary.
The Commission is currently in its consultation phase and has been meeting employee organisations, pensioner groups and other stakeholders across different locations. The official website lists the Bengaluru visit for October 7–8, 2026, following the Chandigarh consultations.
Since the Commission was constituted on November 3, 2025, its 18-month period extends into 2027. Therefore, the final recommendations are not due in May-June 2026 as stated in the supplied copy.
For now, the CGEGIS proposals remain part of the demands being placed before the 8th Pay Commission. Any change in insurance coverage, contribution levels or the structure of the scheme will depend on the Commission’s recommendations and subsequent government action.