The government announces major changes in pension policy.

The letter states that the family pension will now only be paid for ten years, and only the pensioner’s legal heirs would be entitled to the pension transfer in the event of their death.

In the notification, it was mentioned that a deceased pensioner’s spouse would get a pension for ten years following their passing. In addition, the child of a deceased pensioner will be entitled to a pension for life if they are incapacitated.

In an effort to deter early retirement, the government has also outlined measures, such as a 3% pension cut. The remaining service time, up to 60 years, will be covered by this reduction.

The total deduction for early retirement for members of the civil armed services will be 20%.

The government of Pakistan had earlier announced plans to raise employee pay and pensions in the Budget 2024–2025.

Additionally, see “Pension is a huge burden on government.”

Government employees’ ad hoc relief allowance was raised by 25% up to grade 16.

Likewise, there was a 20 percent increase in government officers’ adhoc relief allowance from grade-17 to grade-22.

In the meantime, the division said that federal employees’ pensions will be increasing by 15% as suggested in the Budget 2024.

“The President has sanctioned an Adhoc Relief Allowance 2024 to all federal government employees. This includes armed forces personnel, civil armed forces, and federal employees. It also includes civilians paid from defense estimates, including contingent paid staff and contract employees employed against civil posts in basic pay scales on standard terms and conditions of contract appointment.” The Finance Division’s notification read as follows.