Government of Pakistan, Finance Division has issued a Notification on 21-07-2022 in connection with Clarification Benefit of Pay Scales 2022 to Pensioners Retired during 2021-22. Before this, the retired or retiring employees between 01-07-2021 to 30-06-2022 requested the Government to include them too in the beneficiaries of Basic Pay Scales 2022 as Government did in 1994.
The Benefit of Pay Scales 2022 to Pensioners Retired during 2021-22
According to the Notification, the undersigned refers to the Ministry of Defence Production’s U.O dated 04-07-2022 on the subject cited above. The undersigned says that the benefit of the revision of Basic Pay Scales 2022 Finance Division cannot extend to the pensioners who retired during the financial year 2021-2022 on the basis of the following:
Basis of not Allowing Benefit
- GFR-58 (1) states that all authorities which are competent to sanction revision of pay or the grant of concessions to Government servants should bear in mind the retrospective effect they should not give to financial sanctions except in exceptional circumstances without the special approval of Govt.
- The Federal Cabinet approved revised pay scales 2022 with effect from 1st July 2022.
- In accordance with CSR-4, the Government has the direction/right of changing the rules regarding pay, allowances, leave, and pension. In case of a dispute, an officer’s claim to pay and allowances are regulated by the rules in force at the time when the officer resigns or is discharged from the service of the Government.
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Summary
The summary of the above discussion is that the Government employees who retired prior to 1st July 2022 cannot avail of the benefit of revised basic pay scales 2022. The main benefit of the revised pay scale 2022 is that the pensioners will get more gratuity or commutation. The estimated increase in commutation after the revision of basic scales in 2022 is about 1.5 times.
Khyber Pakhtunkhawa, Finance Department issued a clarification regarding the change in pension due to Basic Pay Scales 2022 for the pensioners of KPK.
