ISLAMABAD: The federal government has decided to raise the house rent allowance (HRA) for all government employees by 85 percent, providing major financial relief.
According to media reports, the Ministry of Finance has approved the proposal, which will now be presented to the federal cabinet for final approval.
The increase will apply to all employees from grade 1 to 22, including both permanent and contract staff.
Under the new policy, the allowance will be calculated based on the current basic salary, instead of the old 2008 pay scale.
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Reports said that once approved by the cabinet, this increase will offer significant relief to government employees struggling with rising rents and inflation.
Officials described this as the largest HRA hike in recent years, aimed at easing the financial burden on public servants.
Federal Government Increases Employees’ House Rent Allowance by 85%:
