New Delhi, July 8 -- The possibility of a major salary hike under the 8th Pay Commission has generated interest among central government employees and pensioners. There are expectations in some corners of a possible 60% hike in payments, once the recommendations of the 8th Pay Commission are implemented.

The projected increase is not driven solely by how high the fitment factor can be pushed. Instead, the projected increase results from a combination of factors and an illustrative calculation that combines higher basic pay with revisions to the House Rent Allowance (HRA), Transport Allowance (TA) and the treatment of the Dearness Allowance (DA).

For example, several employee organisations and unions, such as the All India National Publi...