AN ADVANCED ECONOMIC AND FINANCIAL IMPACT ASSESSMENT OF THE EIGHTH CENTRAL PAY COMMISSION ON PENSION REVISIONS, RETIREMENT INCOME SECURITY, HOUSEHOLD WELFARE, AND LONG-TERM FISCAL SUSTAINABILITY IN INDIA

This article examines the potential economic and financial effects of the Eighth Central Pay Commission (8th CPC) on pension adequacy, retirement income security, household welfare and the long-term fiscal sustainability of India. It uses a descriptive and analytical approach based on secondary information from government reports, budget documents, pension statistics and other institutional sources. The analysis considers pension expenditure trends, inflation, illustrative revision scenarios, household consumption, healthcare costs and public finances. Available figures indicate that Union Government expenditure on pensions and other retirement benefits increased from ₹3,08,040 crore in 2023–24 to ₹3,45,942 crore in 2024–25, a rise of 12.30 per cent.