ISLAMABAD – The federal governments is considering a proposal to increase the salaries of the employees by up to 25 percent in upcoming budget for fiscal year 2025-26.
Sources said the PML-N led government is expected to presents its second budget on June 2 (Monday) with the federal employees seeking a major relief.
They added that the government employees from Grade-1 to 16 are expected to get 25% increment in their salaries while there would be 20 percent from Grade-17 to 22.
In previous budget 2024-25, 25 percent increase was approved in the salaries of government employees from Grade-1 to 16 and 20 percent from Grade-17 to 22.
Furthermore, fifteen percent raise had been given in the pension of retired government employees while the minimum wages had been increased from Rs32,000 to Rs37,000.
Meanwhile, reports suggest the government has decided to provide a tax relief to the salaried class in the upcoming budget.
The government is likely to reduce the income tax by 10 percent in various slabs for the salaried class.
If the proposal is approved, the salaried class would get a relief of approximately Rs50 billion in next fiscal year.
The final decision will be taken after talks with the IMF, which are scheduled to take place from May 14 to 22, 2025.
