Federal Budget: 10pc hike likely in salaries, pensions of govt employees 

Islamabad: In the budget for the next fiscal year 2025-26, it is proposed to increase the salaries and pensions of government employees by 10 percent, while it is also proposed to give a 30 percent disparity allowance to employees of grades 1 to 16, reportedly.

According to media reports, the minimum wage will also be increased. There is a possibility of a 10 percent increase in the salaries of government employees and a 30 percent allowance. It is proposed to merge the ad hoc relief allowance with the basic salary. Employees of grades 1 to 16 are waiting for more relief, it is also proposed to give relief to those of grades 17 to 22.

It is also proposed to change the income tax slab for the salaried class and increase the annual tax exemption limit to more than Rs600,000. The final decision will be taken by the Prime Minister in the federal cabinet meeting.