Minimum salary for government employees set at Tk20,000, maximum at Tk160,000

The Pay Commission has recommended fixing the minimum salary for government employees at Tk20,000 and the maximum at Tk160,000 under a new pay structure. This would represent an increase of between 100 and 147 per cent compared with the current structure. The number of pay grades will remain unchanged, with all 20 existing grades retained in the new framework.

The information was obtained from sources within the 21-member Pay Commission, headed by former Finance Secretary Zakir Ahmed Khan. The commission is scheduled to submit its report to the Chief Adviser at the state guest house Jamuna at 5:00pm on Wednesday. Following a review of the report, the government will take a final decision on salaries and allowances for government officials and employees.

Sources said that opinions from 236,000 participants were collected through an online survey in the process of formulating the new pay structure. The recommendations were prepared after taking into account factors such as inflation, the cost of living and overall living standards.

The Pay Commission has proposed partial implementation of the new pay structure from 1 January 2026. Full implementation is planned from 1 July 2026, the first day of the 2026–27 fiscal year.

According to the commission’s recommendations, the Pahela Baishakh allowance for government officials and employees is proposed to be increased from 20 per cent to 50 per cent. In addition, while transport allowance has so far been provided from the 11th to the 20th grades, the new structure recommends extending the allowance from the 10th to the 20th grades.

Pensioners are also set to receive significant benefits under the new structure. It has been proposed that pensions be increased by nearly 100 per cent for those receiving less than Tk20,000 per month, by 75 per cent for those receiving between Tk20,000 and Tk40,000, and by 55 per cent for those receiving more than Tk40,000.

The commission has also recommended fixing medical allowance at Tk10,000 for pensioners aged over 75. For those aged under 55, the proposed medical allowance is Tk5,000.

In the case of house rent allowance, the commission has recommended comparatively lower rates for grades one to ten and comparatively higher rates for grades 11 to 20.

Sources added that once the Pay Commission’s report for civilian government employees is finalised, steps will be taken to form separate pay commissions and prepare reports for the armed forces and the judiciary.