Why Are Pay Commission Arrears Accumulated?
It typically takes 18 to 24 months from the constitution of a Pay Commission to final Cabinet gazette notification. For instance, the 7th CPC was constituted in February 2014, submitted its report in November 2015, and was notified in July 2016 with retrospective effect from January 1, 2016.
How Are Monthly Arrears Calculated?
For each month between the designated effective date (e.g., 01-Jan-2026) and the actual payout month, the arrears equation is:
Monthly Arrears = Revised Basic Pay - Old 7th CPC Basic Pay (Adjusted for interim DA differential)
Illustrative 6-Month & 12-Month Arrears Estimates
| Pay Level | Monthly Basic Diff (2.28x) | 6 Months Arrears | 12 Months Arrears |
|---|---|---|---|
| Level 1 (₹18,000) | ₹23,000 | ₹1,38,000 | ₹2,76,000 |
| Level 6 (₹35,400) | ₹45,300 | ₹2,71,800 | ₹5,43,600 |
| Level 10 (₹56,100) | ₹71,800 | ₹4,30,800 | ₹8,61,600 |