What is the 15% temporary allowance salery increase received by federal employees and the reasons for giving it are economic or political?

The federal government of Pakistan  has salery  announced a 15% disparity allowance increase for under-privileged employees with effect from March 1, 2022.

What is the 15% temporary allowance received by federal employees and the reasons for giving it are economic or political?

According to the Federal Ministry of Finance, this allowance will be given to the employees of Grade 1 to Grade 19 and it will be given to them on their current basic salary increase.

The PTI government's announcement of a 15 per cent allowance with salaries comes at a time when inflation is high in the country and inflation in the current financial year, according to local and international financial institutions. The rate is likely to remain in the 'double digits' but many analysts are also linking the reasons for the increase to the political situation in the country.

Commenting on the announcement of this allowance, the spokesperson of the Ministry of Finance said that this move of the government is in line with the policy of Prime Minister Imran Khan in which he has asked for increase in salaries in the country. Has established

Government Employees salary increase 15% allowance Detail

What is 15% Dispense Allowance?

While announcing this allowance fo employees by the federation, the provinces have also been asked to apply it.

This allowance will be given as an ad hoc (temporary) relief and the decision to include it in the salary will be taken in the light of the recommendations of the Pay and Pension Commission.

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There is a big difference between the salaries of the employees of different departments of the federation and the allowances given to them and this allowance has been announced to reduce this difference to some extent.

According to information gathered from some federal employees, the rate of pay gap varies between different federal agencies and departments. The salaries of some federal agencies are between 70% and 170% higher than the secretariat employees. On average, the salaries of Secretariat employees are 100% lower than those of various federal agencies.

According to the information provided by these federal employees, 25 per cent ad hoc relief was given by the government last yearand after giving the present ad hoc relief, the total effect has reached 40 per cent. However, the Supreme Court, NAB, F. The salaries of less privileged employees are up to 60% lower than in the IA, National Assembly, Senate, Prime Minister's Secretariat and some other agencies.

government of Pakistan  has salery  announced a 15% disparity

Journalist Khaliq Kayani, who reports on the affairs of the Ministry of Finance, says that employees working in federal government agencies and departments are called federal government employees, but there is a difference in the salaries and allowances of employees of these agencies and departments.

He pointed out that the salaries of the employees working in the Prime Minister's Secretariat, President's House, Supreme Court, FBR and a few other institutions were higher than the salaries of the employees of other federal departments due to which they were paid. There are different allowances.

Kayani said that last year there were strikes and demonstrations by the employees of the Federal Secretariat in this regard and it was demanded that the salaries of all the federal employees should be made equal.

He said that the announcement of 15% allowance was a step towards eliminating this difference. However, according to him, the pay gap between different federal agencies and departments will remain. Khaliq said the 15 per cent allowance would alleviate the grievances of somewhat less privileged employees.

Muzammil Aslam, a spokesman for the Ministry of Finance, told CCR that it is true that there is a difference between the salaries of the employees of different federal departments and therefore the employees who are receiving low salaries are considered as 'undervalued'. Fifteen per cent allowance has been announced to close the gap

In Pakistan, salary increases or allowances are usually announced in June when the federal budget is presented in Parliament. However, the federal government announced the allowance in February and announced implementation from March 1.

Khaliq Kayani said that one of the reasons for this allowance was the protest against the departure of Secretariat employees. He said the employees had staged a protest on January 15 and had also announced a protest on February 10 and a lockdown of the secretariat, but before that the federal government had announced a special allowance for them.

Dr Ikram-ul-Haq, an economist, told the BBC that the announcement was made in view of the rising cost of living, which was causing problems for the government.

He said that although this relief would provide some relief to the employees in times of rising inflation.