Government has proposed a 15% special pay allowance for armed forces as a bid to increase salaries.
As per details, Ministry of Finance has forwarded a summary to the federal cabinet proposing a 15% 15% further increase in salaries for all the ranks of the armed forces aimed at compensating minimal or no increase in their salaries during past two years and ending disparities in pay structures.
The summary will be tabled in front of the federal cabinet in its next meeting on Tuesday next week.
The 15% special pay allowance for armed forces will have a financial cost of Rs 38 billion per year, which the government has already budgeted.
This in turn, will bring the total increment in salaries of the armed forces to 25% as the government had previously approved a 10% ad-hoc allowance for both civilian and armed forces’ employees.
The increment in salaries of armed forces is subjected to federal cabinet’s approval.
Finance Ministry has argued that due to delay in receiving interim report, the federal cabinet had approved relief measures on June 11 wherein armed forces personnel along with civilian employees have been allowed an ad-hoc relief allowance of 10% of the basic pay.
Meanwhile, he Pay and Pension Commission chairperson has also forwarded recommendations for interim relief for the armed personnel till finalization of recommendations in order to boost the morale of the armed forces.
The development comes as federal government had not increased the salaries of armed forces and civilians in FY 2019-2020.
Meanwhile, 15% increase in salaries was approved in FY2020-21 for only up to Grade-19 employees which had created resentment in the ranks and files and the civilian and military employees.