Federal Government Issues Notification for Salary Increase and Allowances for Civil Servants

Islamabad: The Ministry of Finance has issued a notification regarding the salary increase for government employees.
According to the notification, the salaries of federal government employees will be increased by 10%, effective from July 1, 2025. This increase will be provided as an Adhoc Relief Allowance, added to the current basic salary.
Additionally, the notification includes a 30% Disparity Reduction Allowance for government employees in grades 1 to 22 who are eligible for this allowance. This allowance will be calculated based on the basic salary for the fiscal year 2022.
Officials clarified that employees who are already receiving a Disparity Allowance will continue to receive the 30% increase on their 2022 basic salary. However, employees who are already receiving Special Allowance, Special Salary, or Executive Allowance will not be eligible for the Disparity Allowance.
These salary adjustments are aimed at addressing pay disparities and providing additional financial relief to public sector employees.