Prime Minister Forms High-Level Committee to Review Government Servants’ Allowances
In a significant administrative move, Prime Minister Shehbaz Sharif has established a Special Committee tasked with evaluating proposals for government servants’ allowances. This committee will be responsible for reviewing both existing allowances and proposals for new ones during the current fiscal year.
Committee Leadership and Composition
The committee will operate under the chairmanship of Federal Minister for Finance and Revenue Muhammad Aurangzeb, as announced through a notification issued by the Finance Division’s Regulations Wing.
Constitution of the Committee
The committee comprises the following members:
| Position | Role |
|---|---|
| Federal Minister for Finance and Revenue | Chairperson |
| Federal Minister for Economic Affairs | Member |
| Minister of State for Finance & Revenue | Member |
| Secretary, Finance Division | Member |
| Secretary, Cabinet Division | Member |
| Secretary, Establishment Division | Member |
| Secretary, Defense Division | Co-opted Member for Armed Forces |
| Secretary, Interior Division | Co-opted Member for Civil Armed Forces |
Committee Mandate
The committee’s primary responsibility is twofold:
- Review proposals submitted to the Finance Division regarding:
- Revision of existing allowances
- Introduction of new allowances for government servants
- Present recommendations to the Cabinet for consideration during the annual budget approval process.
Demands of Government Employees
Government employees are urging the government to revise and enhance their salaries and allowances to cope with the soaring prices of essential commodities. Below are the key demands:
1. House Rent Allowance (HRA)
Current HRA allocations are insufficient:
- Employees in small towns pay PKR 10,000+ per month in rent, while in major cities, rents exceed PKR 50,000 per month.
- Current HRA ranges between PKR 2,000 to PKR 8,000 per month, which is far below actual rent expenses.
Request: The government should increase HRA to a realistic and reasonable ratio.
2. Conveyance Allowance
Transportation costs are becoming unmanageable:
- Employees commuting by car spend PKR 25,000+ per month on fuel.
- Motorcycle users spend PKR 10,000+ per month on fuel and maintenance.
Request: A minimum PKR 15,000 per month should be allocated as Conveyance Allowance.
3. Medical Allowance
Current Medical Allowance is inadequate:
- Most employees receive PKR 1,500 to PKR 2,000 per month, which does not cover even a single specialist consultation fee.
Request: Increase Medical Allowance to PKR 5,000 per month or provide free, high-quality medical facilities.
4. Special Allowance
Employees are requesting a Special Allowance equivalent to 100% of their running basic pay to help them regain purchasing power amidst rising inflation.
Salaries of Parliamentarians vs. Government Employees
Reports suggest significant salary increases for parliamentarians and other categories. Government employees demand a proportional increase in their salaries to maintain parity and fairness.
The constitution of this committee is a positive step towards addressing the longstanding demands of government employees. By revising allowances such as HRA, Conveyance Allowance, and Medical Allowance, the government can ensure better financial stability for its workforce. Moreover, aligning their pay raises with those of parliamentarians will reflect equitable treatment and boost morale among government servants.
