President Approves Ad hoc Relief Allowance for Govt Employees

President Approves Ad hoc Relief Allowance for Govt Employees

Islamabad, July 11, 2024 – The President of Pakistan has sanctioned an Ad hoc Relief Allowance for government employees, effective from July 1, 2024. This initiative, announced by the Finance Division, will benefit federal government employees, including Armed Forces personnel, Civil Armed Forces, Civil Employees, and civilians paid from defense estimates, encompassing contingent paid staff and contract employees.

The notification outlines that the Ad hoc Relief Allowance – 2024 will be provided to employees based on their basic pay scales under the standard terms and conditions of their contract appointments. The new allowance rates are as follows:

• BPS-1 to BPS-16: 25% of the running basic pay salary

• BPS-17 to BPS-22: 20% of the running basic pay salary

The Finance Division also detailed several important aspects of the allowance:

1. Subject to Income Tax: The Ad hoc Relief Allowance will be subject to income tax.

2. Admissibility During Leave: The allowance will be granted during leave and the entire period of leave preparatory to retirement (LPR), except during extraordinary leave.

3. Non-Emoluments for Pension Calculation: The allowance will not be included in emoluments for pension, gratuity calculations, or house rent recovery.

4. Exclusion During Foreign Posting: Employees on posting or deputation abroad will not be eligible for the allowance during their tenure abroad.

5. Repatriation Eligibility: Upon repatriation from posting or deputation abroad, employees will receive the allowance at the rate they would have received had they not been posted abroad.

Furthermore, the Finance Division stated that the basic pay salary for calculating the Ad hoc Relief Allowance – 2024 will include any personal pay granted due to annual increments beyond the maximum of the existing pay scales.

This salary increase is part of the government’s efforts to address the financial needs of its employees amidst rising living costs. By implementing these adjustments, the government aims to provide relief to public sector workers, ensuring they are better equipped to manage their expenses.

The decision to enhance the salaries of government employees has been welcomed by various employee unions and associations. They believe this measure will boost morale and productivity among public sector workers, who play a crucial role in the administration and development of the country.

Overall, the approval of the Ad hoc Relief Allowance – 2024 signifies the government’s commitment to supporting its workforce. As the new allowance takes effect, government employees across Pakistan can anticipate an improvement in their financial well-being, reflecting the state’s acknowledgment of their services and dedication.