ISLAMABAD: Minister of Finance Muhammad Aurangzeb on Monday revealed that the government had no intentions to increase the salaries and pensions of federal government employees in the upcoming fiscal year.
Finance Minister Aurangzeb submitted a written response to the National Assembly, saying, “There is also no plan to revise employees’ allowances or pay scales.”
Traditionally, government employees receive annual increments, including those who get pensions, depending on the increased inflation.
The Finance Minister noted that the government is reviewing the ceiling and limits for hiring and housing allowances.
It merits a mention that earlier this year, a large number of government employees undertook a protest outside the National Assembly to demand increase in salaries and pensions.
The protestors also spoke against the government’s policy aimed at privatisation of government institutions.
All Government Employees Grand Alliance (AGEGA) urged the government to address their concerns regarding financial hardship and increasing inflation.
It should be highlighted that the government significantly increased government employees’ salaries in the last year’s budget. While the minimum wage was also increased from Rs32,000 to Rs36,000 per month due to increasing inflation.
However, Ministry of Finance on Monday denied the news, stating, “The Finance Minister did not make any such announcement or give a statement on the floor of the National Assembly.”
“The news broadcast attributed to the Finance Minister is not based on reality.”
The statement from the Finance Ministry stated, “The Finance Ministry informed the House that at present, the proposal to revise the pay scales of federal government employees and significantly increase their salaries and allowances for the next financial year is not under consideration.”
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