Islamabad:
The federal government has approved relief for employees who retire after July 2025, resulting in a straight pension increase for all federal pensioners.
In a Memorandum issued by the Ministry of Finance, the details of the pension increase and the payment process were outlined. The memorandum confirms that all federal retirees will receive the pension increase on an equal footing.
According to the memorandum, the relief includes the integration of five previous ad-hoc-relief allowances awarded between 2011 and 2024 for pension payments. The total cumulative percentage of these quotas is 70%.
The memorandum clarifies that the base pension for government employees will be considered their net pension.
The Ministry of Finance also stated that the gross pension minus the commuted pension will include these five ad-hoc reliefs. The five quotas include 15% increases in 2011, 7.5% in 2015, 15% in 2022, 17.5% in 2023 and 15% in 2024.
