The finance ministry issued an order for 20% dearness allowance for government employees on Monday, a day after the announcement came from Prime Minister Sheikh Hasina.
The order for the dearness allowance – a cost of living adjustment – signed by additional secretary to the finance division, Imdadul Haque, will be applicable in retrospective effect from July 1 this year.
Officials and employees of government, semi-government, autonomous and state-owned banks, financial institutions and MPO-enlisted educational institutions will see their salary increased by a minimum Tk1,500 and a maximum Tk6,000 under this allowance.
The allowance will be effective until the next national pay scale.
Earlier on Sunday, just months away from a probable parliamentary elections, Prime Minister Sheikh Hasina announced of 20% dearness allowance.
The prime minister said there was no connection between the allowance and the pay commission which would be due soon.