The Pakistan government has officially notified an increase in salaries and pensions for employees in line with the Budget 2024-25. According to a statement from the Finance Division, adhoc relief allowances for government employees up to grade-16 will be raised by 25%. Employees in grades 17 to 22 will receive a 20% increase in their adhoc relief allowances. Additionally, pensions for federal employees will see a 15% hike as proposed in the budget.
The Finance Division emphasized that these adjustments apply universally to all federal government personnel, including armed forces, civil armed forces, and civilian employees funded through defence estimates. The government aims to improve the financial well-being of its workforce and retirees with these measures.
It’s important to note that the adhoc relief allowances will be subject to income tax. While employees will receive this allowance during regular offs and leaves preparatory to retirement, it won’t be applicable during ‘extraordinary’ leaves. Furthermore, the allowance won’t be considered for calculating pension, gratuity, or house rent, nor will it apply during employees’ deputation abroad. However, upon returning from international assignments and resuming duties within their respective departments, employees will resume receiving the allowance.
