Government rejects pay rise; funds diverted to election projects
Islamabad (Daily TheNews / Sunday, December 30, 2012) – It seems that the story of Unified Pay Scale and Salary increase of public servants / Govt employees has reached at his end point. Both the federal and provincial governments have refused to implement the unified pay scales for three million public sector employees from January 1, 2013,
as they want to direct development funds for elections related projects to attract voters.
Pay and Pension Committee
A member of the Pay Committee, which was tasked to remove anomalies in the pay structure, told The News that the provinces had refused to accept unified pay scales on the pretext that their governments were interested to utilise resources on development projects.
It is worthwhile to remind that the committee had proposed implementation of its recommendations in phases, since it was committed to place unified pay scales without burdening the national exchequer.
Revision of MP Scales
However, the federal government has already notified an increase of 35 percent in salary, perks and privileges of mighty MP-1, MP-II and MP-III scales with effect from January 1, 2013. Technocrats and retired bureaucrats will be beneficiary of this upward revision.
Finance Minister Advisor insist UPS still exist
Advisor to the Finance Minister Rana Assad Amin, who is also spokesman of the committee, said, “The unified pay scales have not so far been finalised, as the committee headed by Dr Ishrat Hussain has not yet held its meeting in this regard.”
Sources in the Finance Ministry said the executives, armed forces and judiciary would not be subject to uniform pay scales.
Pensioners may dislike the new formula. Pensioners are presently receiving pension based on higher percentage of last pay drawn.
New formula for pension
However, in new pension formula this percentage would be reduced to minimise the impact on budget, they added. Federal and provincial governments have also been reluctant to implement monetisation of housing facilities, which affected their budgets.
There was reported massive misuse of monetisation of car facility despite the fact that employees were given cars at much lower rates. The commission recommended recovery of the cars sold to the officials, and refund of their money.
He said that monetisation of transport facility was not applicable in corporations and autonomous bodies.
Special pay package for doctors, teachers, LHW
The Pay Commission recommended special incentives and pay package for doctors, teachers, lady health workers and paramedical staff who would be willing to work in less developed districts of the country to ensure availability of health, education and other basic social services in those areas.