I am sharing the Salary Increase Employees as per a Copy of Budget Speech 2021-22 Punjab. The Punjab Government has announced Budget 2021-2022 on 14th June 2021. Federal Government has already announced the budget and increased the 10% salaries of the Federal Govt employees. The pay and allowances, as well as pension enhancement packages for the Punjab Government employees in Budget 2021-22, are as under:
Notification of 25% Special Allowance To Punjab Govt Employees 2021 September
Governor’s Secretariat, Punjab has issued the official notification on 7th September 2021 in connection with grant of 25% special allowance 2021 to the employees of the government of Punjab in BPS-1 to 19 who are not receiving any cadre/service specific allowance.
Kindly refer to your circular No. FD.SR. V. 3-1/2021 dated 07.07.2021 on the subject cited above. It is to state that the circular referred to above states in its para 3 that the subject allowance is not admissible to the employees of Autonomous Bodies. Therefore, such condition is applicable on the Public Sector Universities as well.
However, it may be appreciated that Autonomous Bodies (Universities) have their own budgets and competent fora to decide terms & conditions of their employees including their pay scales and allowances, following the procedures prescribed under their respective laws.
In view of above, it has been desired by the Hon’ble Governor Chancellor to reexamine para 03 of the circular referred to above with a view to allow Public Sector Universities in Punjab to decide admissibility of the subject allowance to their employees by placing the same before their respective competent fora to decide as per prescribed procedure, whether the circular of Government of the Punjab, Finance Department be adopted or otherwise vis-a-vis resources of the University. A response at the earliest shall be highly appreciated.
Punjab Govt Employees 35% Salary Increase in Budget 2021-22
Accountant General Punjab has issued the notification on 5th August 2021 in connection with the grant of special allowance 2021 to the employees of the government of Punjab in BS-01 to BS-19 who are not receiving any cadre/service specific allowance.
Confirmation of 25% Special Allowance 2021 Punjab Govt Employees
Please refer to Government of the Punjab Finance Department letter No.FD.SR.V.3122021 dated 07.07.2021 on the subject cited above. This office is in receipt of a number of queries from different District Accounts Offices regarding the admissibility of Special Allowance-2021 to the Civil Servants and contract employees in BS-01 to BS-19 @ 25% of initial of the Basic Scales, 2017 vide above-referred letter.
The Para 2 or said letter is reproduced as under:
The employees who are drawing any cadre/service-specific allowance(s) are not entitled to the aforesaid Special Allowance. The subject allowance is only admissible to the employees who are drawing their pay in the relevant Basic Pay Scale along with only House Rent Allowance, Conveyance Allowance, Medical Allowance and Adhoc Relief Allowances
The District Accounts Officers are seeking clarifications (copies enclosed) regarding the admissibility of Special Allowance-2021 to the employees of the Punjab Government who are drawing any allowance other than the four allowances mentioned in the Finance Department’s above-referred letter.
This office is of the view that:
- Allowances like Qualification Allowance, Personal Allowance, Integrated Allowances, Washing Allowance, Entertainment Allowances, Sr. Post Allowance, Special Conveyance Allowance, Mobility Allowance, Charge Allowance, Overtime Allowance, Computer Allowance, etc. are not Cadre Specific Allowances. Hence, employees who are receiving such allowances are entitled to Special Allowance-2021.as such.
- On the other hand, Health Professional Allowance, Police Law and Order Allowance, Fixed Anti-Corruption Allowance, Fixed Daily Allowance, Secretariat Allowance, Judicial Allowance. Special Judicial allowance, Technical Allowance, Nursing Professional Allowance, Executive Allowance, Incentive Allowance etc. are Cadre / Service Specific Allowances and employees who are drawing any type of these allowances or any other cadre specific allowance shall not be eligible for Special Allowance-2021.
In the light of the position explained above, the viewpoint of this office may be endorsed at an early date. If otherwise, clarification may be issued.
Punjab Govt, Finance Department has issued the official notification on 7th July 2021 regarding grant of special allowance 2021 to the employees of the government of Punjab in BS-01 to BS-19 who are not receiving any cadre/service special allowance.
- All Administrative Secretaries to Government of the Punjab
- The Secretary to Governor, Punjab, Lahore
- The Secretary to Chief Minister, Punjab, Lahore
- The Military Secretary to Governor, Punjab, Lahore
- The Secretary, Punjab Provincial Assembly, Lahore
- The Secretary, Punjab Public Service Commission, Lahore
- All Heads of Attached Departments in the Punjab
- All Commissioners in the Punjab
- All Deputy Commissioners in the Punjab
- Al District & Sessions Judges in the Punjab
- The Chief Pilot, VIP Flight, Lahore
- The Registrar, Lahore High Court, Lahore
- The Provincial Director, Local Fund Audit, Punjab, Lahore
- The Chief Inspector of Treasuries & Accounts, Punjab, Lahore
I am directed to state that the Governor of the Punjab has been pleased to sanction Special Allowance – 2021 with effect from June 1st, 2021 and till further orders to the Civil Servants of the Punjab Government in BS-1 to BS-19 @ 25% of initial of Basic Pay Scales, 2017 and contract employees employed against civil post in basic pay scale BS-1 to BS-19 subject to the following that the Allowance shall:
- be subject to Income Tax.
- be admissible during leave and entire period of LPR except during extra ordinary leave.
- not be treated as part of emoluments for the purpose of calculation of pension / gratuity and recovery of House Rent.
- not be admissible to the employees during the tenure of their posting / deputation in Federal / Other Provincial Government including AJK & GB as well as deputation abroad.
- be admissible to the employees on their repatriation from posting / deputation at the rate and amount which would have been admissible to them they had not proceeded on deputation.
Those employees who are drawing any type of cadre / service specific allowance(s) are not entitled to the aforesaid Special Allowance. The subject allowance is only admissible to the employees who are drawing their pay in the relevant basic pay scale alongwith only following allowances:
- House Rent Allowance
- Conveyance Allowance
- Medical Allowance
- Adhoc Relief Allowance, 2016, 2017, 2018 & 2019
Furthermore, the subject allowance is not admissible to the employees drawing lump-sum pay packages as well as employees of Autonomous Bodies, Special Institutions and Companies.
The aforementioned allowance shall be paid in the Financial Year 2021-2022. Moreover, the concerned DDO, the Accountant General, Punjab and the concerned District Account Officer, as the case may be, shall be responsible to ensure its payment to the eligible employees only. In case of overpayment to ineligible employees, these authorities and offices shall be held personally responsible even if any such recovery is effected against such wrong payment(s).
According to the Budget Speech 2021-22, the Government of Punjab feels the difficulties of Punjab Govt employees. Previous year Govt could not increase the salary and pension last year. Now the economic situation is better and Govt has decided to increase salaries by 10% of the basic pay.
The Punjab Govt employees who have not yet received any 100% or more allowances, will get 25% Special Allowance @ 25% of Basic Pay. There is a proposal for a 10% increase in the Pension of the Punjab pensioners.
- The Finance Minister Punjab announced the following regarding pay/pension increase in Budget 2021-22 Punjab:
- Adhoc Relief Allowance 2021 @ 10% of the running/current basic pay of the Revised Pay Scales 2017.
- Special Allowance @ 25% of the basic pay of the Basic Revised Pay Scales 2017.
- Pension increase @ 10% of the net pension minus medical allowance.
Punjab Government, Finance Division has issued the official notification on 20th April 2021 in connection with 25% increase in salary grant of disparity reduction allowance 2021. The notification has been forwarded to the;
- Minister for Law & PA
- Minister for ICI&SD
- Minister for Agriculture
- Additional Chief Secretary, S&GAD
- Secretary Finance
Latest Updates of 25% Disparity Allowance Punjab Employees (04-6-2021):
As per the summary, the 25% Special Allowance Punjab on Initial of Revised Pay Scales 2017 instead of the running basic pay. If it is so then it will be a minor increase in salaries of the Punjab Government employees. The Federal Government granted Disparity Reduction Allowance 2021 on current basic pay. This is a summary and waits for the Notification of Special Allowance 2021 for Punjab Government Employees. That the Finance Department can issue within a couple of days or so.
The Ministerial Committee submitted various options in this regards to the Chief Minister, Punjab on 20.05.2021, who finally approved to grant a Special Allowances, 2021 @ 25% of Initial Basic PayScale, 2017 with effect from June 1st, 2021 for the employees in BS-1 to BS-19 who are drawing no additional allowance except usual pay and allowances vis-à-vis House Rent Allowance, Conveyance Allowance, Medical Allowance and Adhoc Relief Allowance 2016, 2017, 2018 and 2019 with the financial implication of Rs.2.460 Billion per Month (Annex-E).
The Chief Minister pleases that the instant matter should place before the provincial Cabinet for its consideration and approval (Annex-F). Proposal in para 5/ante is placed before the Provincial Cabinet for its consideration and approval.
Here is the update regarding the grant of 25 % Special Allowance to remove the Disparity of Pay for the Employees of Punjab Govt. The minutes of the meeting held on 31-05-2021 above mentioned subject. The further detail of these minutes of the meeting are as under;
GRANT OF 25% SPECIAL ALLOWANCE 2021 AND UPGRADATION
As announced by Hon’ble Chief Minister Punjab dated 25.05.2021, “the Government of Punjab has decided to give 25% special allowance to those employees of BS-1 top BS-19 who are not getting any allowance other than their salaries from the next month so that difference may be reduced in their salaries to bring betterment in their economic condition ”. The matter will be followed up and expedited through the concerned forum
The matter regarding up-gradation of employees of National Health Programme with reference to note for Minister, Law and Parliamentary vide No.SO(C&C) 1-1/2020(M) Misc. dated 19.03.2021 will got expedited through the concerned department to finalize the matter.
One of the good news especially for the employees of Punjab, who are still waiting to see the official announcement/notification from Punjab Government. Finally, the Chief Minister Punjab Usman Buzdar has announced publicly through his official account regarding 25% Disparity Reduction Allowance (Special Allowance) to all the employees who are working under Punjab Govt. In this allowance, only BPS-01 to BPS-19 are included and they are not already getting any extra/special allowance. The detail of the letter and screenshot is given below;
We have decided to give 25% monthly special allowance from next month to the Punjab government employees from grade 1 to 19 who did not get any allowance other than salary so that the salaries of government employees working in various departments Reduce the gap and improve their economic situation.
پنجاب حکومت کے گریڈ 1 سے 19 تک کے وہ ملازمین، جن کو تنخواہ کے علاوہ کوئی الاؤنس نہیں ملتا تھا، انہیں ہم نے اگلے ماہ سے 25 فیصد ماہانہ سپیشل الاؤنس دینے کا فیصلہ کیا ہے تاکہ مختلف محکموں میں کام کرنے والے سرکاری ملازمین کی تنخواہوں میں فرق کم ہو اور ان کی معاشی حالت میں بہتری آئے۔
Grant of Disparity Reduction Allowance 25% Increase in Salary 2021
I am directed to refer to the subject noted above and to intimate that the Competent Authority / Chief Minister, Punjab has been pleased to constitute the Ministerial Committee (Annex-A) for a holistic review for reduction of disparities in pay of employees of Punjab Government and submit recommendations to the Provincial Cabinet to address the Issue in a fiscally sustainable manner.
I am further directed to state that the 2nd meeting is scheduled to be held on 21.04.2021 (Wednesday) at 12:15 P.M under the Chairmanship of Mr. Makhdoom Hashim Jawan Bakht, Minister for Finance / Convener of the Committee in the main Committee Room of Finance Department, Punjab Civil Secretariat, Lahore.
The Terms & Reference (TORs) of the Ministerial Committee are as under:
- Comprehensive mapping of the government servants in BS 1-22, who are drawing any Special Allowance(s) other than regular allowances.
- Examining any distortion / disparity in Pay and Allowances of the government servants working in various organizations / entities of the Punjab Government, with reference to recently approved Disparity Reduction Allowance (DRA) by the Federal Government
- Determine the financial impact of Disparity Reduction Allowance (DRA) for the forthcoming budget.
The Committee may involve stakeholders in consultative process before reaching to any recommendations.
It is, therefore, requested to please make it convenient to attend the said meeting on the given date, time and venue.
Secretary, Governor of the Punjab has issued the notification letter on 12th February, 2021 in connection with Punjab Govt employees 25% increase in salary notification 2021.
Latest News on 2nd March, 2021: According to the confirmed sources, the final notification of 25% salary increase will be issued today, Tuesday 2nd March or tomorrow, Wednesday, 3rd March, 2021 (Inshaa Allah). All the employees of Federal, Punjab, KPK, Sindh, Balochistan are requested to stay tuned with us.
19th February, 2021: In the high level meeting chaired by Punjab Chief Minister Usman Buzdar, directs Cabinet Committee to Prepare Recommendations / Summary for Approval of 25% increase in salary allowance to Punjab Govt Employees from BPS-01 to BPS-19.
Because, the Federal Cabinet has approved the summary of 25% Disparity Allowance. I hope very soon the notification will be issued before the 1st March, 2021.
25% Salary Increase of Punjab Govt Employees 2021
Pursuant to the notification of Ministry of Interior, Government of the Pakistan, dated Islamabad, the 11th February, 2021 and directions contained therein.
Governor of the Punjab has been pleased to grant an adhoc relief allowance to all the Punjab Government Employees @ 25% of current basic pay with effect from 1st March, 2021 and this adhoc relief allowance shall be made part of the basic pay from 19 July, 2021 Approved by the order of Governor of the Punjab.
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