MEPCO Notification of Disparity Reduction Allowance 2021

Multan Electric Power Company has issued the official order on 29th April, 2021 in connection with MEPCO notification of disparity reduction allowance 2021. The further details are given below.


Notification of 25% Disparity Reduction Allowance For MEPCO Employees 2021


Consequent upon recommendations / approval of HR Committee of MEPCO BOD in its 29meeting held on 15.04.2021 against agenda Item No. 4, Chief Executive Officer MEPCO has accorded approval for adoption of Deputy Secretary (R-1) Finance Division (Regulation Wing) Govt. of Pakistan, Islamabad office Memorandum No. 14(1)R-3/2021-90 dated 03.03.2021, regarding grant of Disparity Reduction Allowance @ 25% of the Basic Pay Scales 2017 w.e.f. 01.03.2021 subject to subsequent ratification of MEPCO BOD. This allowance shall be admissible to all MEPCO employees in BPS-1 to 19, who have never been allowed additional allowance / allowances equal to or more than 100% of the basic pay (whether frozen or not) or performance allowance as per following terms & conditions:


Read More: IESCO Notification of Disparity Reduction Allowance 2021


  1. This allowance will not be admissible to those employees who are drawing additional allowance / allowances equal to or more than 100% of the basic pay (whether frozen or otherwise).
  2. This allowance will be frozen at the level drawn on 1st March 2021.
  3. This allowance will be subject to income Tax.
  4. This allowance will be admissible during leave and entire period of L.P.R except during extra ordinary leave.
  5. This allowance will not be treated as part of emoluments for the purpose of calculation of Pension/Gratuity and recovery of House Rent.
  6. This allowance will not be admissible to the employees during the tenure of their posting / deputation abroad.
  7. This allowance will be admissible to the employees on their repatriation from posting / deputation abroad at the rate and amount which would have been admissible to them, had they not been posted abroad.
  8. This allowance will be admissible during the period of suspension.
  9. The term ‘Basic Pay’ will also include the amount of Personal Pay granted on account of annual increments beyond the maximum of the existing pay scales.

MEPCO Notification of Disparity Reduction Allowance 2021

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