In the Budget 2022-23, the government intends to raise the pay of its employees by 5 to 15%.
If granted, this will be the second pay raise for government employees in less than four months.
In March, the Pakistan Tehreek-e-Insaf (PTI) administration approved a 15 percent disparity reduction allowance for officers in grades 1 to 19. Following that, Prime Minister Shehbaz Sharif’s new government announced another 10% rise in pensions, as well as an increase in the minimum monthly income to Rs. 25,000.
In this context, a Ministry of Finance official stated that the government is considering three distinct options for raising salaries by 15%.
According to reports, in the future budget, the salaries of officers (grades 1 to 19) may be boosted by another 5-10% ad hoc allowance, while the salaries of grades 20 to 22 personnel may be increased by 10 to 15%.
In response to mounting inflationary pressures, the government could likely increase pensions by 5 to 10%.
Separately, the Ministry of Finance’s Regulation Wing has finished its internal work and decided to employ an actuary to do the digging and form a Pay and Pension Commission to provide recommendations.