Demands to Increase Pay and Pension in Budget 2021-22

I am sharing here the Demands to Increase Pay and Pension in Budget 2021-22 for Federal and provinces. Many employees and pensioners sent me the request to share their demands to enhance their salary and pension in the coming budget 2021-2022.


Why Need for Demand to Increase Pay and Pension in Budget 2021-22?


The reason for the same is simple and everyone knows the hikes in the prices of the daily use. The employees are living from hand to mouth nowadays. They have to do extra work or part-time jobs to meet their necessities. The salaries of general employees raised only 5% to 10% during the last two years. During the last 2 years, the rates of everything in the market gone nearly to double. There is much news regarding salary increase in Budget 2021-22. This news is seen every year by the employees. But the employees want implementation on these suggestions.


What are the Main Demands of the Employees in the coming Budget?


The main demands of the employees and pensioners from the coming Budget 2021-22 are as under:


  • Increase in House Rent Allowance
  • Enhancement in Medical Allowance
  • Revision of Basic Pay Scales
  • Merging of all Adhoc Relief Allowances
  • Removal of Discriminates among the salaries of the employees
  • Up-gradation of various Posts
  • Time Scale Promotion


Let’s discuss the above all demands in details:


Increase in House Rent Allowance (HRA)


The Federal and Provincial Government employees are getting at this time HRA 30% and 45% of the initial revised pay scale 2008. The last time Government revised the House Rent Allowance in 2008 during the PPPP Government. After that Government of PML (N) revised Rates of House Rent Allowance 2018. there was a 50% increase in House Rent Allowance and Hiring. After that, no Government increased the HRA.

            Nowadays, the rates of the Houses/Flats on rent are beyond the approach of the employees. The average rate of the House on Rent (Single Room) in a small city is Rs. 5000/- to Rs. 10000/- While the BPS-01 employee is getting a maximum of Rs. 2006/- as HRA. It is not possible to rent a house in Rs. 2006/- The employee of BPS-16 is getting Rs. 4091/- as House Rent Allowance per month. That is not enough to get a minimum 2 room’s house on rent in any city. You can check the rates of House Rent Allowance and others from the Chart of the Salary of Fresh Appointed Employee in 2020-2021.

            Government should revise the pay scales and fix the HRA on the Initial of the New Pay Scales. This will give relief to the employees to some extent.


Enhancement in Medical Allowance


Medical Allowance, the Government last increased in 2015 during the PML (N) Government. The government issued a Notification of increase Medical Allowance in 2015. After that, there is no increase in Medical Allowance. Rates of medicines and treatment have increased many times while the employees are getting Medical Allowance of nearly Rs. 1500/- per month. That is not enough. You know that the doctors’ fees and test expenses are so high. It is not possible to manage the health facilities for an employee in just Rs. 1500/-. Government should fix a minimum of Rs. 3000/- to 5000/- per month as Medical Allowance.


Merging of Adhoc Relief Allowances and Revision of Pay Scales


The Government employees are getting now days the following Adhoc allowances:


  • Adhoc Relief Allowance 2016 (10%) (Frozen)
  • Adhoc Relief Allowance 2017 @ 10% (Running)
  • ARA 2018 @ 10% (Running)
  • Adhoc Relief Allowance 2019 (5% for BPS-16 to 19 /10% for BPS-01 to BPS-16)


Government should merge all these allowances into Basic Pay and must introduce Revised Basic Pay Scales 2021 with effect from 1st July 2021. Federal and Provincial Governments issued Revised Pay Scales 2017 for the last time. After that, no Government revised the same.


Removal of Discriminates among the salaries of the employees


Another demand of the employees is to equalize the salaries of the employees as per their pay scales. There are many examples that one employee is getting Rs. 20000/- in one scale and in the same scale the employee of other department is getting Rs. 50,000/- per month having the same length of service. Government should remove this discrimination.


Up-gradation of Various Posts


There are many posts that have different pay scales in provinces and Federal. Government should give equal scales to all the same designations all over Pakistan. In this way the posts that have low pay scales, the Government should upgrade these posts. Recently Federal Government has announced for Upgradation of BPS-01 to BPS-16 employees as par with the KP pattern. But the same is under process. The Notification issued by Establishment Division covers only a few posts. Government should upgrade all the related posts.


Time Scale Promotion


There are many examples that various posts that have no promotional channel. The employee joins in one scale and he/she retires on the same pay scale. An example of the same is Laboratory Assistant. In most of the departments, the PayScale of Lab Assistant is BPS-07. During all his/her service the employee remains in BPS-07. Government should give time scale promotion to all such types of Posts.


Demand to Increase in Pension


The pensioners are also facing difficulties. Their pension also, the Government did not increase during 2020. They are also having the same issues as the serving employees. Government should also increase their pension @ the rates of salaries of the employees.



Demands to Increase Pay and Pension in Budget 2021-22



Any Other Suggestion?


If any suggestions, you want to add more to the above demands, you can comment below. I shall try to add your proposals too.



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3 thoughts on “Demands to Increase Pay and Pension in Budget 2021-22

  1. It is submitted that the Posts of Juniors auditors and seniors auditors was upgraded with back date benefits with effect from 2005 , while now the establishment division approved the summery of Federal govt clerical posts upgradation with effect from 1-4-2021 .why not upgraded the posts like auditors with effect from 2005 , while before 2007 the post of auditor and LDC are same.This is the discriminatory with employees . You are therefore requested to please take up antedated upgradation like auditors with the concerned authority Thanks

  2. It is proposed that Pensioners Medical Allowance may be merged in monthly pension and annual increment may be granted in the month of December of every year like serving employees and after death of pensioners the full pension may be paid to the widow or legal hair like the the employee who dies during the service.
    It is requested that above proposal may kindly be taken up with the competent authority


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