Bharat Pensioners Samaj Urges Government to Amend 8th CPC Terms of Reference to Include Pension Revision and Delete ‘Unfunded Cost’ Clause

Bharat Pensioners Samaj Seeks Amendments in 8th CPC ToR for Pension Revision and OPS Restoration

The Bharat Pensioners Samaj (BPS), the apex federation representing Central Government pensioners, has written to Prime Minister Shri Narendra Modi and Finance Minister Smt. Nirmala Sitharaman seeking crucial amendments to the Terms of Reference (ToR) of the 8th Central Pay Commission (CPC). The association has urged inclusion of pension revision for pensioners and family pensioners, and the removal of the term “unfunded cost of non-contributory pension schemes” from the ToR.

Key Requests from Bharat Pensioners Samaj

In its detailed representation dated 17th November 2025, signed by Avinash Rajput, Secretary General, BPS, the organization emphasized that the ToR in its present form overlooks vital concerns of nearly 68 lakh Central Government pensioners and 26 lakh serving employees under various pension schemes including Old Pension Scheme (OPS), Unified Pension Scheme (UPS), and National Pension System (NPS).

The BPS, established in 1955, highlighted its long-standing advocacy for the rights and welfare of pensioners and urged the Government to take a balanced approach that upholds the dignity of retired employees.


1. Implementation Date for 8th CPC Recommendations

BPS requested that the 8th CPC recommendations be implemented with effect from 1st January 2026, following the established precedent of previous Pay Commissions:

Pay CommissionDate of Effect
4th CPC01.01.1986
5th CPC01.01.1996
6th CPC01.01.2006
7th CPC01.01.2016

The organization stated that it is both “automatic and justified” that the next CPC follows the same pattern.


2. Revision of Pension and Deletion of ‘Unfunded Cost’ Term

(a) Revision and Parity in Pensionary Benefits

The BPS noted that the current ToR lacks explicit mention of pension revision and parity, and urged inclusion of the following language:

“To examine the principles which should govern the structure of pension and other retirement benefits, including revision of pension, parity in pension in the case of employees who have retired on any date (i.e., those who retired before or after 01.01.2026).”

(b) Objection to ‘Unfunded Cost of Non-Contributory Pension Schemes’

Calling the term “unfunded cost of non-contributory pension schemes” “objectionable,” BPS argued that it undermines the constitutional and judicially recognized nature of pensions as a right, not a bounty.

Quoting the D.S. Nakara Judgment, the letter reiterates that “pension is a social welfare measure rendering socio-economic justice.”
Similarly, in Vijay Kumar v. Central Bank of India, the Supreme Court held that pension is a constitutional right under Article 300A.

The association urged deletion of the term and replacement with:

“To examine the principles which should govern the structure of pension and other retirement benefits, including revision of pension, irrespective of the date of retirement.”


3. Restoration of the Old Pension Scheme (OPS)

The BPS appealed for the restoration of the Old Pension Scheme (OPS) for employees recruited after 1st April 2004, who are currently covered under NPS or UPS. It noted that dissatisfaction with the contributory pension systems remains high, with the “vast majority preferring the OPS.”

It requested that the 8th CPC be mandated to examine existing pension schemes and recommend a beneficial one, addressing the widespread demand for restoration of OPS under CCS Pension Rules, 1972 (now 2021).


4. Extension of 8th CPC Benefits

BPS urged the Government to extend the benefits of the 8th CPC to employees of centrally funded Autonomous and Statutory Bodies and to Gramin Dak Sevaks (GDS), who play a vital role in the postal network but are often excluded from CPC benefits.


5. Interim Relief of 20%

The association called for an immediate grant of 20% Interim Relief to Central Government employees to offset inflationary pressures and losses due to the delay in the implementation of the 8th CPC.
It noted that such relief is essential to boost the morale of around 1.2 crore employees, ensuring continuity and efficiency in government functioning.


6. Comprehensive Health Coverage

BPS also pressed for a review and expansion of the Central Government Health Scheme (CGHS), recommending:

  • Extension of CGHS coverage to all employees of Autonomous and Statutory Bodies.
  • Opening of more CGHS Wellness Centres across district headquarters.
  • Ensuring cashless and hassle-free medical treatment for all pensioners and employees.
  • Implementation of Parliamentary Standing Committee recommendations for improving CGHS efficiency.

The Larger Appeal

In conclusion, BPS expressed confidence that the Government will consider these proposals “in their true perspective” and issue appropriate amendments to the ToR of the 8th CPC. The letter was also copied to Dr. Jitendra Singh, Minister of State (PP), PMO India; The Secretary (DoP&PW); and The Secretary (Expenditure), Ministry of Finance.

View BPS Letter:

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