Increase in Salary and Pension by Govt
Here is some good news for government employees and retirees: the new fiscal budget has brought significant announcements from Pakistan’s government regarding salary increases and enhanced allowances for workers across all grades.
- The new package is expected to provide much-needed relief to public servants who have been grappling with rising inflation. Details of the salary hikes for different grades and the pension revision formula are still awaited.
- This development is likely to have a positive impact on the overall economy as increased disposable income can stimulate consumer spending.
- The government is optimistic that this financial boost will enhance employee morale and productivity within the public sector.
Increase In Salaries, Pension Of Govt Employees
In the newly released Budget 2024–25, the government has announced a raise in salaries and pensions for employees. According to the Finance Division, the ad-hoc relief allowance for government employees up to grade 16 will be increased by 25%, while officials in grades 17 through 22 will receive a 20% rise in their allowance.
| Govt Employees Grade | Percent Increase |
|---|---|
| Up to 16 | 25% |
| 17 to 22 | 20% |
Furthermore, the Budget 2024’s projected 15% pension hike for federal employees has been confirmed.
Important Message From Finance Division Notification
The Finance Division has issued a notification stating, “The President has sanctioned an Adhoc Relief Allowance 2024 for all federal government employees, including armed forces personnel, civil armed forces members, federal employees, civilians paid from defense estimates, contingent staff, and contract employees on standard terms and conditions of contract appointment.”
Allowance Excluded From Pension Calculation; Resumes After Abroad Deputation
A key detail in the announcement is that the allowance will not be granted to employees deputed overseas and will not be included in pension, gratuity, or housing rent calculations. However, employees will resume receiving the allowance once they return and are reassigned to their divisions.
Maryam Nawaz Announces 15% Increase In Wages For Unskilled Laborers
Maryam Nawaz Sharif has announced that all minimum wage workers in Punjab will receive a 15% pay raise starting next month, accompanied by additional benefits. The Punjab government has also set the new minimum monthly wage for laborers and workers at 37,000 rupees, marking a significant advancement in supporting the labor force. This directive was issued by Maryam Nawaz Sharif, the Chief Minister of Punjab.
FAQs
- What changes were announced for government employees in the new budget?
The new budget announced substantial salary and pension increases for government employees across all grades. - How much is the increase in the ad-hoc relief allowance for grades up to 16?
The ad-hoc relief allowance for grades up to 16 is increased by 25%. - What is the percentage increase in allowance for grades 17 to 22?
The allowance for grades 17 to 22 is increased by 20%. - How much is the projected pension hike for federal employees?
The projected pension hike for federal employees is 15%. - Are overseas deputed employees eligible for the new allowance?
No, employees deputed overseas are not eligible for the new allowance. - When will the minimum wage increase for unskilled laborers take effect?
The minimum wage increase for unskilled laborers will take effect next month. - What is the new minimum monthly wage for laborers in Punjab?
The new minimum monthly wage for laborers in Punjab is 37,000 rupees. - Who announced the wage increase for unskilled laborers?
Maryam Nawaz announced the wage increase for unskilled laborers. - Will the allowance be considered for pension calculations?
No, the allowance will not be included in pension calculations. - What is the purpose of the new fiscal budget regarding employee welfare?
The purpose of the new fiscal budget is to enhance employee welfare through significant increases in salaries and pensions.
Conclusion
In conclusion, the new fiscal budget delivers positive news for government employees and retirees, featuring substantial salary and pension increases across all grades. The introduction of ad-hoc relief allowances includes a 25% raise for employees in grades up to 16 and a 20% increase for those in grades 17 to 22, underscoring the government’s dedication to improving employee welfare.
