Pay Commission proposes Tk 20,000 minimum, Tk 1.6 lakh top salary

After more than a decade of waiting, a major overhaul of government pay is finally on the table.

The Ninth National Pay Commission on Wednesday submitted its report to Chief Adviser Professor Muhammad Yunus, recommending a sharp increase in government salaries, with the minimum pay set at Tk 20,000 and the maximum at Tk 1,60,000.

The report was handed over at the state guest house Jamuna in the afternoon, nearly three weeks ahead of the February 14 deadline. The 23-member commission, led by Zakir Ahmed Khan, was formed on July 27, ending a 12-year gap since the Eighth Pay Commission in 2013.

Finance Adviser Salehuddin Ahmed, Special Assistant to the Chief Adviser Anisuzzaman Chowdhury, Finance Secretary Khairuzzaman Majumdar and members of the commission were present at the handover, according to Deputy Press Secretary Abul Kalam Azad Majumdar.

Chief Adviser Muhammad Yunus expressed satisfaction with the report, thanking the commission for completing what he described as a long-awaited and “creative” piece of work.

Commission chief Zakir Ahmed Khan said the recommendations were shaped by sharp changes in both global and domestic economic indicators over the past decade, particularly the steep rise in the cost of living. He said government employees have been under growing pressure due to the absence of a timely and realistic pay structure.

To prepare the report, the commission held 184 meetings, both online and offline, and gathered feedback from 2,552 individuals. It also consulted extensively with professional bodies, societies and associations.

Under the proposal, the number of salary grades for government employees has been set at 20. The minimum salary would rise from Tk 8,250 to Tk 20,000, while the highest salary would more than double from Tk 78,000 to Tk 1,60,000.

The commission also assessed the financial feasibility of the new structure. According to its estimates, implementing the proposals would require Tk 1,06,000 crore. Currently, the government spends around Tk 1,31,000 crore on salaries for about 14 lakh government employees and pensions for around nine lakh retirees.

Finance Adviser Salehuddin Ahmed said the next step would be implementation, adding that a separate committee will be formed to determine how the recommendations are put into effect.

Beyond pay hikes, the report includes a raft of structural reforms. These include introducing health insurance for government employees, reforming the pension system, restructuring the Government Employees Welfare Board, forming a service commission, rationalising salary grades, reviewing allowances, and strengthening human resource development in the health and education sectors.

Whether and how quickly these proposals are implemented will now shape the next chapter of public sector pay and welfare.