Government of Pakistan, Finance Division issued a Notification on 04-07-2023 in connection with Adhoc Relief Allowance 2023 @ 35% & 30% Federal Employees. The details are as under:

Adhoc Relief Allowance 2023 @ 35% & 30% Federal Employees

As per the Notification, the President pleases sanction with effect from 01-07-2023 and till further orders, an ARA-2023 to all the Federal Government Employees including the following:

• Armed Forces Personnel
• Civil Armed Forces
• Civil Employees of the Federal Government
• Civilians paid from Defence Estimates
• Including contingent paid staff
• contract employees employed against civil posts in Basic Pay Scales on standard terms and conditions of contract appointment.

Rates of ARA-2023

The rate of Adhoc Relief Allowance-2023 is as under:

• BPS-1 to BPS-16 Employees @ 35% of Basic Pay as on 30-06-2023 (Running Basic Pay)
• BPS-17 to BPS-22 Employees @ 30% of Basic Pay as on 30-06-2023 (Running Basic Pay)

Terms and Conditions for ARA-2023

The amount of Ad-hoc Relief Allowance-2023:

will be subject to Income Tax;

will be admissible during leave and the entire period of LPR

except during extraordinary leave (EOL) Leave without pay;

This ARA. will not be treated as part of emoluments for the purpose of calculation of Pension/Commute and recovery of House Rent;

will not be admissible to the employees during the tenure of their posting/deputation abroad; and ARA-2023 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.

3. The term “Basic Pay” for the purpose of Ad-hoc Relief Allowance-2023 will also include the amount of the personal pay granted on account of the annual increment (s) beyond the maximum of the existing pay scales.

4. The above Ad-hoc Relief Allowance-2023 shall be accommodated from within the budgetary allocation for the year 2023-24 by the respective Ministries/Divisions/Departments and no supplementary grants would be given on this account.

Clarification:

As per para 3 of this Notification, the Adhoc Relief Allowance 2023 is on the current or running basic pay as of 30-06-2023 the employees were getting. So there is no confusion on the basis of initial basic pay. That is good news for the employees. Many employees were worried about its admissibility. Now it is clear that ARA-2023 is on the running basic pay of Revised Pay Scales 2022 for the Federal Government of Pakistan.