Govt issues gazette on pay commission for public servants
Commission to submit recommendations in six months from its first meeting
The government has issued a gazette on the National Pay Commission to recommend a timely and appropriate salary structure for employees of government, semi-government, autonomous bodies, state-owned banks and financial institutions, public universities, and state-run industrial enterprises.
A notification issued by the finance ministry today (27 July) named former finance secretary Zakir Ahmed Khan as the commission's chairman. It includes three full-time and 19 part-time members. The commission has been asked to submit its recommendations within six months from its first meeting.
The decision to form the new commission was taken during a meeting of the Advisory Council last Thursday, chaired by Chief Adviser Muhammad Yunus.
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According to a finance ministry circular, the commission will review the existing salary, allowances, and benefits and propose a modern, rational structure for officers and employees. It will also design salary schemes for specialised services and determine how to integrate income tax obligations within the pay structure for government staff.
In addition to salaries, the commission will assess and rationalise benefits beyond pay, such as house rent, medical allowances, transport, hospitality, deputation, responsibility, dearness, festival, and recreation allowances. It will also recommend a mechanism to adjust salaries in line with inflation and propose modern retirement and pension benefits.
The notification further states that the commission will reflect employee performance in the pay structure and suggest monetising direct government-provided benefits – such as access to phones, vehicles, and rations – for greater financial accountability.
It will also recommend ways to remove inconsistencies in grade progression and increments.
In framing its recommendations, the commission has been instructed to consider the cost of living for a six-member household (including parents), educational and healthcare expenses for up to two children, the country's economic growth, government resources, administrative and security needs, and financial positions of respective institutions.
Other factors include resource allocation for poverty reduction, strategies to gradually make institutions self-reliant, recruitment of talented officials, and enhancing service quality through improved efficiency and initiative.
The full-time members of the commission are former finance secretary Mohammad Ali Khan, former comptroller and auditor general Md Moslem Uddin, and former ambassador Md Fazlul Karim.
