Reliable Brokers
Online Investing
Alerts & Analysis
Easy Trading

Government to please public servants after polls

Update : 10 Dec 2013, 09:46 PM

The government is mulling over a plan to satisfy 13 lakh public servants after the general election as it has failed to announce a permanent pay scale.

Finance Minister AMA Muhith will hold a meeting with the newly formed pay and service commission   today at his secretariat office to review the salaries of public servants within a short time, a senior official of the finance division said yesterday.

The official also said the government wants to give the public servants some kinds of assurance of implementing the new pay scale after the general election scheduled to be held on January 5.

The finance minister two days back said an announcement of separate pay scale for the employees of Bangladesh Bank and four state-run banks was not possible under the polls-time government.

“It will violate the electoral code of conduct if the government announces the separate pay scale this time,” the minister also said.

The implementation wing of the finance ministry issued a circular on November 24 that said the newly formed pay and service commission would prepare a recommendation within six months.

Sources in the finance division said as the government is now in fund crisis with foreign assistances declining and revenue earning drying out due to hartal and back-to-back blockades it cannot provide maximum fund for the new pay scale.

The finance division has now allocated Tk17, 000 crore for payment of the salaries along with 20% dearness allowance for public servants a year.

But the allocation will go beyond Tk20, 000 crore if the newly formed commission gives any allowance to the public servants, according to the finance division.

Former governor of Bangladesh Bank Dr Mohammad Farashuddin, also the chairman of the pay commission, yesterday said the finance minister wanted to meet the chairman and member of newly formed commission today at his secretariat office as he gave some directives on recommendations of the new pay scale.

A 17-member commission was formed on November 24 comprised of three permanent and 12 temporary members. A joint secretary will act as the commission member secretary and commission will start its operation from December 17 as per the circular.

On October 30, Finance Minister AMA Muhith said the Pay and Services Commission (PSC) would examine the wage disparities and suggest ways to remove them.

On October 6, Prime Minister Sheikh Hasina announced a 20% increase in dearness allowance at flat rate for government employees which is an extra burden of Tk5000 crore in current fiscal year budget.

The government issued a gazette notification the next day granting the dearness allowance with retrospective effect from July 1.

The Seventh Pay Commission was formed in 2007 during the caretaker regime and public servants got a hike on July 1, 2009.

Top Brokers