Pakistan is facing an unprecedented surge in inflation which has severely affected not only the general public but also government employees, Leaders of the All Government Employees Grand Alliance (AGEGA) Punjab said in a joint statement on Tuesday.
In a joint statement, the AGEGA leaders led by Chairman Khalid Sanghera said that soaring inflation had drastically eroded the purchasing power of public-sector employees, making it increasingly difficult for them to meet household expenses from their limited incomes.
They noted that provincial government employees, particularly those in Punjab and other provinces, have yet to receive the 30 per cent disparity allowance announced in the Federal Budget 2025-26.
They further alleged that amendments to leave encashment rules introduced by the Punjab Government in 2023 deprived employees of substantial leave encashment benefits payable upon retirement.
According to the alliance, the situation worsened following pension reforms introduced on December 2, 2024, which they described as unprecedented and detrimental to government employees.
The AGEGA leadership maintained that retired and serving employees in Punjab are facing significant reductions in pension, gratuity and leave encashment benefits, leaving many under financial strain and psychological stress.
The alliance urged the prime minister to incorporate a series of relief measures for government employees in the Federal Budget 2026-27.
One of their key demands is the extension of the 30 per cent disparity allowance announced in the Federal Budget 2025-26 to employees of all provincial governments, along with an additional 15 per cent increase, and the withdrawal of pension reforms.
Others include the merger of all ad hoc relief allowances into the basic pay scale and a comprehensive revision of pay structures, an increase of at least 50 per cent in salaries and pensions in line with prevailing inflation and a minimum fivefold increase in house rent, medical and conveyance allowances, which they said have remained largely frozen.Latest News, Breaking News & Top News Stories | The Express TribuneOur CorrespondentRead More
