Budget 2021-22: Govt proposes 10% increase in pensions, salaries

• Govt proposes increase in orderly allowance from Rs14,000 to Rs17,500 per month.
• Integrated allowance of grade 1 to 5 employees increased from Rs450 to Rs900.
• To minimise inflationary pressures, govt increases minimum wage to Rs20,000 per month.

ISLAMABAD: The federal government on Friday announced the addition of an ad-hoc relief of 10% in the salaries and pensions of federal government employees.

Finance Minister Shaukat Tarin, in his budget speech, announced that the increase in salaries and pensions would be applicable from July 1 of this year.

The government also proposed an increase in the orderly allowance from 14,000 to Rs 17,500 per month. Apart from this, the integrated allowance of grade 1 to 5 employees was increased from Rs 450 to Rs 900. 

Similarly, to minimise the inflationary pressures, especially on the labourers and workers, the government has increased the minimum wage to Rs 20,000 per month.