Government of Pakistan, Finance Division has issued an OM  on 23-02-2022 in connection with Notification Disparity reduction Allowance (DRA) 2022 @ 15% of Running Basic Pay Federal. This allowance is for the Federal Government Employees but not for all FG Employees. The employees who are getting other specific allowances will not get this allowance. The employees of the Federal Government will get this allowance with effect from 1^st March 2022.

Notification Disparity reduction Allowance (DRA) 2022 on Current pay

Federal Govt employees will get this allowance on various terms and conditions. You will read the summary of these allowances as well as other terms and conditions below. The undersigned is directed to convey the approval of the Federal Government for grant of Disparity Reduction Allowance @ 15% of the basic pay of Basic Pay Scales 2017 with effect from. 1^s‘March 2022. This allowance shall be admissible to civil employees in BPS 1-19 of the Federal  Government, (including employees of the Federal Secretariat, attached departments, and subordinate offices) who have never been allowed additional allowance/allowances equal to or more than 100% of the basic pay (whether frozen  or  not) or performance allowance subject to the following conditions: The details are as under:

Summary of DRA 2022 Federal Employees

The summary of DRA 2022 @ 15% of current basic pay is as under:

Terms & Conditions of DRA 2022

• This Allowance will not be admissible to the employees of the organizations who are drawing additional allowance/allowances equal to or more than 100% of the basic pay(whether frozen or otherwise);
• The allowance will be frozen at the level drawn on 1°‘ March 2022
• This Allowance will be subject to Income Tax;
• The Allowance will be admissible during leave and the entire period of L.P.R. except during extraordinary leave;

• This Allowance will not be treated as part of emoluments for the purpose of calculation of Pension/Gratuity and recovery of House Rent;
• The Allowance will not be admissible to the employees during the tenure of their posting/deputation abroad;

• This Allowance will be admissible to the employees on their repatriation from posting/deputation abroad at the rate and amount which would have been admissible to them, had they not been posted abroad;
• This Allowance will be admissible during the period of suspension;

• The term “Basic Pay” will also include the amount of Personal Pay granted on account of the annual increment (s) beyond the maximum of the existing pay

2. All the Principal Accounting Officers and Heads of the Departments are requested to ensure the compliance of this O.M in letter and spirit.

You have to know that Federal Cabinet Approved DRA 2022 a few days ago. Now the Finance Division issued its Notification.