Govt unveils 50% rise in pay allowances

ISLAMABAD: Civil servants will enjoy up to a 50 per cent increase in “night duty, daily and special pay allowances” from July 1 as the government unveiled measures to provide relief to inflation-stricken employees.

The revision, announced through a finance ministry notification, came in special pay allowances for the new financial year 2010-11, which were not announced in the federal budget. The ministry also notified grant of ad hoc allowance at the rate of 50 per cent of the existing basic pay and medical allowance, announced on June 5.

After 50 per cent ad-hoc allowance to all government servants, the maximum basic salary of a basic pay scale 1 employee would be Rs5,280. On the other end of the spectrum, an additional secretary of BPS-21 would be drawing a maximum basic salary of Rs74,520 after taking into account the 50 per cent increase in basic pay.

The secretary in Grade 22 – the highest post – would be pulling in a maximum salary of Rs 83,205, a jump of Rs 27,735 at the level of 2008.

The 50 per cent increase will be applicable at the pay scales of 2008.

After taking into account all the allowances, the take home salary of a BPS 1 employee would be over Rs8,000 and of Grade-22 over Rs125,000.

The government had announced it would partly implement the report of the Pay and Pension Commission during the financial year. The commission, headed by former central bank governor Dr Ishrat Husain, had recommended overhauling the civil services to bring it at par with the private sector in three years  – a move that would cost the kitty over Rs400 billion.

The notification stated that the 50 per cent ad-hoc allowance would not be admissible to personnel of the armed forces, civil armed forces, ICT Police, National Highways and Motorways Police and the other departments who have already been allowed an allowance equal to one month’s basic pay.

According to the notification, the special pay of private secretaries to a minister, a state minister, secretary, and additional secretary and to personal assistants of a minister, a state minister, secretary, additional secretaries and joint secretaries have been increased by 100 per cent.

The special pay of a PS to a minister has been raised to Rs 1,000 from Rs500. A secretary’s PS would be entitled to Rs800 per month special pay.

Daily allowances

The government also increased daily allowances within the country from 65 per cent to 100 per cent. The daily ordinary allowance for the lowest scale category employees have been increased to Rs200 from Rs

125 and the special daily allowance has been raised by 100 per cent. The special daily allowance is only admissible when a public servant travels to metropolitan cities. The employees in the basic pay scale of 12 to 16 would now be entitled to Rs500 ordinary daily allowance and Rs600 special daily allowance.

The night duty allowance for clerks and assistants has been increased to Rs40 per night from Rs10 while for staff car drivers and dispatchers daily night allowance has been fixed at Rs25 from Rs5.

Conveyance charges

Similarly, conveyance charges for late sitting on working days have been fixed at Rs50 per day for all civil servants. Earlier, the rate was between Rs 12 and Rs15 depending upon the scale. On holidays the late sitting charges have been determined at Rs 75 per day from Rs 18 per day.

Special medical allowance

For the first time the government has introduced special medical allowance for civil pensioners of the federal government.  Pensioners who retired in the basic pay scale of 1 to 15 will be entitled to 25 per cent medical allowance of the pension drawn. Pensioners who retired in the BPS 16 to 22 will avail 20 per cent medical allowance of the pension drawn.

However, the government has discontinued the existing facility of reimbursement of amounts spent on account of purchase of medicines by the retired government servants and on the purchase of medicines. The facility of consultation and diagnostic investigation at outpatient departments of hospitals will continue.

The finance ministry has also notified the minimum pension of Rs3,000 per month for the retired government employees and Rs2250 per month for the widows of government employees. The government also sanctioned ad-hoc allowance to the re-employed sanction officers. The increase has been granted over the fixes basic pay of Rs 24465.

Published in The Express Tribune, July 6^th, 2010.