Save Our Pak
Great news for government employees! The government has approved an 85% increase to provide financial relief to its staff.
According to details, the federal government has approved an 85% increase in house rent ceiling to help employees cope with rising rent costs. The approval was given through circulation by the federal cabinet. This increase will apply to all federal employees from grade 1 to 22 in Islamabad, Rawalpindi, Lahore, Karachi, Peshawar, and Quetta. The decision is expected to cost the national treasury around 12 billion rupees in total.
Sources said that the Ministry of Housing and Works had suggested this change to the federal cabinet, explaining that due to inflation and high rents, federal employees needed a major increase in their rent allowance.
The ministry stated that rents in urban areas have risen sharply, making it difficult for government workers to find suitable housing within their current allowance. The last time this rent ceiling was revised was on 28 September 2021.
Officials also noted that many employees are forced to pay extra from their own pockets for housing because of the shortage of official residences.
The Finance Division also supported this proposal, saying that an 85% increase was essential to match current market rates.
Prime Minister Shehbaz Sharif approved the ministry’s proposal and instructed that the cabinet’s approval be taken under Rule 17(1)(b).
After the cabinet’s approval, the new rental ceilings will reduce the financial pressure on federal employees and bring their housing allowance closer to market levels.
Reported by Save Our Pak
