Salary or pension: Govt clarifies pension rules for retired employees

ISLAMABAD: The Ministry of Finance has issued a notification regarding pension reforms, maintaining that retired employees who join another institution can opt to receive either a salary or pension, but not both simultaneously, ARY News reported.

According to the notification, the government employees who rejoin any institution after retirement can choose between receiving a salary or pension, but not both simultaneously.

According to the notification, which is in line with the reforms recommended by the Pay and Pension Commission, retired employees will have to opt for either pension or salary upon re-employment.

Finance Minister Muhammad Aurangzeb on Monday made an important announcement regarding salary and pension hike in the FY2025-26 budget.

In a written response to the National Assembly, Finance Minister Muhammad Aurangzeb announced that there is no proposal under consideration for salary or pension hike of government employees in the upcoming fiscal year 2025-26 budget.

No revision of pay scales or allowances is being considered, he said and added that the increase in hiring and ceiling limits for employees is under review.

The finance minister clarified that the government’s current focus is on controlling expenditures and stabilizing the economy.

Earlier, Finance Minister Aurangzeb made an important announcement regarding salary and pension hike in the FY2025-26 budget.

No revision of pay scales or allowances is being considered, he said and added that the increase in hiring and ceiling limits for employees is under review.

The finance minister clarified that the government’s current focus is on controlling expenditures and stabilizing the economy.