Pay Commission recommends up to 142% salary hike for govt employees
The Pay Commission today recommended a new salary structure with an increase ranging from 100% to 142% for government officials and employees.
At the lowest level, the 20th grade, the basic salary is proposed to rise from Tk 8,250 to Tk 20,000, while at the highest level, the 1st grade, the salary is proposed to increase from Tk 78,000 to Tk 160,000. The total number of grades will remain at 20.
According to sources in the 21-member Pay Commission, headed by former finance secretary Zakir Ahmed Khan, the commission presented its report to the chief adviser at the State Guest House Jamuna this evening.
It is learned that in preparing the report, the Pay Commission considered nearly 300,000 opinions collected through an online survey, along with factors such as inflation and living standards.
The sources also said the commission recommended increasing the Bengali New Year (Boishakhi) allowance from 20 percent to 50 percent for the government employees. Previously, transport allowance was given to employees from the 11th to the 20th grade. The new Pay Commission recommended extending this transport allowance to employees from the 10th to the 20th grade.
In the recommendation, pensioners will also see a significant increase in pension rates. Pensioners receiving less than Tk 20,000 per month will have their pensions increased by nearly 100 percent. Those receiving between Tk 20,000 and Tk 40,000 per month will see a 75 percent increase, while those receiving more than Tk 40,000 per month will see a 55 percent increase.
Medical allowance of Tk 10,000 will be provided for pensioners over 75 years of age, while for those under 55 years of age, a medical allowance of Tk 5,000 is recommended.
For government employees from the 1st to the 10th grade, house rent allowance is recommended at a comparatively lower rate, while for employees from the 11th to the 20th grade, the house rent allowance will remain comparatively higher.
Meanwhile, in the revised budget for the 2025–26 fiscal year, operating expenses have been increased by Tk 20,000 crore. The government has taken this step as part of the partial implementation of the new salary structure.
The government plans to revise down the development spending by Tk 30,000 crore this fiscal year and raise the non-development expenditure by Tk 28,000 crore, The Daily Star has learnt from officials involved with the proceedings.


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