Business

Govt announces relief packages for pensioners

Published by
Staff Reporter

ISLAMABAD: The federal government has sanctioned a relief package for workers retiring from service on or after July 1, 2025. According to this package, all federal pensioners will be granted equal hikes in their pensions.

The Federal Ministry of Finance has released an official memo about pensions. The memo states that the increase and payment of the pensions cover employees retiring from service on or after July 1, 2025.

The memo adds that every federal pensioner will receive equal increases in their pensions. The five ad-hoc relief allowances distributed from 2011 to 2024, the memorandum adds, will henceforth be counted as part of the pension. The combined value of the five allowances is up to 70 percent.

It has been explained that the basic pension of government servants will now be treated as their net pension. According to the Ministry of Finance, the five ad-hoc reliefs will be included after excluding the lump-sum amount from the gross pension.

These five earlier pension raises will become part of the net pension of federal government workers. For instance, ad-hoc relief of 15 percent was provided in 2011 and 7.5 percent in 2015.

The Finance Ministry also clarified that 15 percent relief was provided in 2022, 17.5 percent in 2023, and once again 15 percent in 2024.

Staff Reporter

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