The federal govt. (government) plans to increase the salaries and pension of its employees in the upcoming fiscal year budget. The Ministry of Finance aims for a 10 percent salary hike, but it might go up to 15 percent due to certain factors, as per reports.
Senior officers may get more money to use their cars. Grade 20 officers get Rs. 67,000, grade 21 officers get Rs. 77,000, and grade 22 officers get Rs. 87,000 every month.
The government wants to change pensions. They might tax pensions over Rs. 100,000 each month. Some people with higher pensions could have different rules. The age when people must stop working for the government might go up to five years in the next budget.
Key Pension Reform Proposals from Govt.:
- Pension based on 70% of the average salary over 36 months.
- Early retirement after 25 years with a 3% annual penalty on pension.
- Separate handling of pension increases from retirement calculation until government review.
- Family pensions limited to 10 years, extended to 20 years for Shuhada, and lifetime for disabled/special children.
- Option to commute up to 25% of the gross pension at retirement.
- Pensioners re-employed can choose between pension or salary, and those with multiple pensions can opt for one.
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