Pakistan’s Ministry of Finance has issued an official Office Memorandum clarifying rules regarding the basic pay scales and allowances for federal government employees. Under the updated directives, two major Ad-Hoc Relief Allowances—introduced in 2023 and 2024—have been frozen at current levels for both existing and newly recruited employees.
According to the clarification, the Ad-Hoc Relief Allowance 2023 remains capped at the basic pay level recorded on June 30, 2023. Under this framework, employees in Basic Pay Scales (BPS) 1 to 16 receive an allowance equivalent to 35% of their basic pay, while officers in BPS 17 to 22 receive 30%. Newly hired staff will also receive this allowance pegged to the 2022 Basic Pay Scale structure.
Furthermore, the Ad-Hoc Relief Allowance 2024 will continue to be calculated based on the Basic Pay Scale 2022, providing 25% of basic pay for BPS 1-16 employees and 20% for BPS 17-22 officers. The Ministry specified that all special pay and related allowances will remain frozen at their June 30, 2026 levels until further notice. Personnel recruited on or after July 1, 2026, will have their 2024 allowance determined under the basic pay scale framework applicable at entry.
Key Highlights of the Finance Ministry Memorandum:
- Allowance Freeze: Ad-Hoc Relief Allowances for 2023 and 2024, along with special pay components, stand frozen at their June 30, 2026 levels.
- Ad-Hoc Relief 2023 Rates: Fixed at 35% of basic pay for BPS 1–16 and 30% for BPS 17–22, calculated on the 2022 Basic Pay Scale.
- Ad-Hoc Relief 2024 Rates: Fixed at 25% of basic pay for BPS 1–16 and 20% for BPS 17–22 based on the 2022 scale.
- Policy Application: Rules apply uniformly to both existing personnel and new inductees hired on or after July 1, 2026.
📊 Fact-Sheet Summary
- Issuing Authority: Ministry of Finance, Government of Pakistan.
- Subject: Revision and clarification of federal employee salaries and allowances.
- Effective Freeze Level: June 30, 2026 benchmark.
- Base Reference Scale: Basic Pay Scale (BPS) 2022.
- Breakdown by Grade:
- BPS 1–16: 35% (2023 Allowance) | 25% (2024 Allowance).
- BPS 17–22: 30% (2023 Allowance) | 20% (2024 Allowance).
