Two reasons the new pay scale is stuck

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Economic pressure, a revenue shortfall and the International Monetary Fund’s (IMF) cautious position have created uncertainty over implementing the long-awaited ninth national pay scale. With administrative and financial preparations incomplete, no final decision has yet been taken on the new pay structure.

Sources concerned said the government is considering implementing the pay scale in two stages rather than raising all pay and allowances at once. Raising basic pay in the first stage and adjusting the various allowances in a later stage is under discussion. No final decision has been taken.

Under existing rules, government employees’ pay and allowances are to be reviewed every five years, but no new pay scale has been announced in the past decade. Economists and public administration analysts therefore consider the new government’s initiative timely, although arranging the money needed has become a major challenge for the government.

According to the Ministry of Public Administration, there are currently about 14.5 lakh government officers and employees in the country. If the ninth national pay scale takes effect, this vast number of employees will come under the new pay structure.

In the budget for the 2026-27 financial year, about 89,836 crore taka has been allocated for the pay and allowances of government officers and employees. Including pensions and gratuities, total expenditure has been put at about 1 lakh 41 thousand 434 crore taka.

Those concerned said an additional 44,000 crore taka or so will be needed to implement the new pay scale and meet other related costs. With revenue collection as it stands, arranging that money will be difficult and could put further pressure on the deficit budget.

The IMF fears that a large pay rise all at once could create excess money flow in the market, putting fresh pressure on inflation. With revenue collection not rising at the expected rate, the risk of dependence on domestic and foreign borrowing could also increase.

In this situation, work is under way on the legal, financial and administrative aspects of implementing the new pay structure in stages.

A high-level committee of secretaries headed by Cabinet Secretary Nasimul Gani has already held several meetings reviewing the commission’s recommendations and the various limitations of the eighth national pay scale.

Sources said the committee will send its final draft for cabinet approval after another two or three technical meetings. If everything proceeds as planned, the gazette for the ninth pay scale could be published in the first or second week of August.

Although publication of the gazette may take a little time, the increased pay will be treated as effective from July 1, 2026. Government employees will therefore receive their arrears along with the increased pay.

বাংলায় মূল প্রতিবেদন পড়ুন · Read the original Bengali report

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