Government of the Punjab, Finance Department issued a Notification on 02-12-2024 in connection with Discontinuing Increases in Pension During Various Years Punjab. The Punjab Government employees who will retire in the future will not get the pension increases granted during the years 2011, 2025, and 2022. The details are as follows:

Discontinuing Increases in Pension 2024 During Various Years Punjab

I am directed to state that the Governor of Punjab has been pleased to approve that the following increase shall be discontinued with immediate effect to the future retired retirees retiring after the issuance of this letter:

1. Increase in pension as allowed vide Para 12 (I) of this Department’s circular latter being No.FD.PC.2-1/20211, dated 11-07-2011.
2. Increase in pension as allowed vide para 1 of this Department’s circular letter beading No. FD.SR-III-4-259/2015(A), dated 23-07-2015/
3. Increase in pension as allowed vide para 1 of this Department’s circular letter bearing No.FD.SR.III-4/160/2021, dated 21-07-2022.

All existing rules/orders/notifications/circulars/instructions on the subject shall be deemed to have been modified to the extent indicated above.

No. & Date Even:

A copy is forwarded for information and necessary action to:

1. The Accountant General Punjab, Lahore.
2. All District Accounts Officers in the Punjab.
3. Treasury Officer, Lahore.

Explanation of Pension Decrease Punjab 2024

Currently when a civil servant of the Punjab Government retiree gets the following increases in pension during various years:

• Pension Increase @ 15% with effect from 01-07-2011
• A Pension Increase @ 7.5% with effect from 01-07-2015
• 2022 Pension Increase @ 15% with effect from 01-07-2022

Now as per the Finance Department Notification, Punjab Government pensioners will not get these increases while they calculate their pension in the future. On the other hand, Federal Employees will get these increases as well as increases in pension in 2023 and 2024.

On the other side Punjab government has also issued the Notification of Amendment Pension Rules 2024 for reduction factor on early retirement, average basic pay of three years for pension calculation as well as family pension to the spouse for 10 years.

You will have to take the average pay for the last three years starting from July of each year. The remaining factors are the same for the formula only. If you take retirement before the age of 60 years then you will have to make a deduction @ 2% for each year.

Special Thanks: Mr. Naseer Hussain