KPK Government Announces Significant Salary and Pension Increases

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Mohsin Siddiqui (Chief Reporter)

Khyber Pakhtunkhwa increases government employee salaries by up to 25% and pensions by 10%, aligning with federal raises. Financial burden estimated at Rs75-80 billion.

On Thursday, the Khyber Pakhtunkhwa (KP) government announced a significant increase in the salaries of its government employees. This decision is a major step to align the province’s compensation structure with that of the federal government, reflecting the administration’s commitment to enhancing the welfare of its public servants.

The new budget provisions include a 10% salary raise for KP government employees up to grade 16. For employees in higher grades, there will be a substantial increase of up to 25%. Specifically, public employees up to grade 17 will see a 20% salary hike. These increments are designed to provide a more balanced and equitable compensation framework, addressing the needs of both lower and higher-grade employees.

The KP government has also approved a 10% increase in pensions. This measure ensures that retired government employees also benefit from the improved financial support, reflecting the administration’s acknowledgment of their past contributions.

Financial adviser to the KP Chief Minister, Muzzammil Aslam, highlighted that this move is in line with the federal government’s earlier announcement. The federal government had previously declared a 25% raise for grades one to 16 and a 20% raise for grades above 17, along with a 15% increase in pensions. By aligning its policy with the federal guidelines, the KP government demonstrates its commitment to maintaining consistency and fairness in public sector compensation across the country.

The KP cabinet has given its approval for these salary and pension increments. An official notification regarding the salary increases is expected to be released shortly, formalizing the decision and providing detailed implementation guidelines. This step is crucial for ensuring that all relevant departments and employees are informed and can prepare for the changes.

The decision to increase salaries and pensions is projected to impose an additional financial burden of approximately Rs75-80 billion on the province’s budget. This significant expenditure underscores the government’s commitment to its employees’ welfare, despite the substantial budgetary implications. The administration’s willingness to bear this financial load highlights its priority on improving the livelihood of government employees and pensioners.

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