Government Of Pakistan Finance Division
Subject: CONSTITUTION OF PAY AND PENSION COMMISSION, 2020
The Government of Pakistan has constituted a Pay and Pension Commission, with effect from 14-04-2020. The Composition of the Commission shall be as follows:
1.Mr. Wajid Rana, Former Federal Secretary. Chairman
2.Mr. Nazar Hussain Mahar, Retired Civil Servant – Member
3.Dr. Noor Alam, Retired Civil Servant Member
4.Ms. Seema Kamil, President, United Bank Limited, Karachi Member
5.Mr. Zubyr Soomro, Chairman, Board of Directors, National Bank of Pakistan Member
6.Ms Nausheen-Ahmed, Company Secretary, ICI (Pakistan) Limited Member
MEMBERS EX-OFFICIO
7.Secretary Finance Division, Government of Pakistan Member
8.Secretary, Establishment Division Government of Pakistan Member
9.Secretary Defence Division Government of Pakistan Member
10.Secretary, Finance Department, Government of Punjab Member
11.Secretary, Finance Department, Government of Khyber Pakhtunkhwa Member
12.Secretary,Finance Department, Government of Sindh Member
13.Secretary, Finance Department, Government of Balochistan Member
14.Secretary, Finance Department, Government of AJ&K Member
15.Secretary, Finance Department, Government of Giligit Baltistan Member
16.An Officer of BS-21 of the Auditor. General of Pakistan Government of Pakistan Member
17.An Officer of BS-21 Controller General of Accounts Government of Pakistan Member
18.Joint Secretary (Regulations) Finance Division Government of Pakistan Member/Secretary
2. The Terms of Reference of the commission are as following
PAY & ALLOWANCES
a Study the adequacy of existing Basic Pay Scale System and to evaluate the current salaries of Government employees throughout the federation including the provincial government and recommend measures for its improvement and uniformity. Also make recommendations for the streamlining of existing classification from BPS 1 to 22.
b} Study the separation of existing Basic Pay Scales for specialized departments/occupations/cadres.
c} Review of Special Scales such as Management Grades, Management Position Scales (MP Scales), Special Professional Pay Scales (SPPS); Project Pay Scales etc. and propose measures for uniformity and improvement.
d} Review of admissible Regular allowances, Special incentives and all other allowances with a view to highlight prevalent distortions and recommend corrective measures.
e} Review of existing perks and facilities and make recommendations, including possibility of their monetization.
Pension
PENSION To Review the Pension system of the Government of Pakistan:
- a) Highlight existing distortions and anomalies in the Pension Scheme and recommend remedial measures. Verify the sustainability of the current model after critically evaluating future liabilities through an actuarial study.
b} Evaluate alternate systems of Pension like defined contribution and setting up of pension funds in light of international best practices and recommend a system with clear timelines that is more efficient and sustainable, considering the available resources.
To Review the existing incentive regime (honorarium and special rewards) and recommend improvement in it.
To evaluate and recommend legislative measures to protect and streamline Pay, Pension and Allowances regime for government employees.
The Commission may, if so desired by the Government, make interim recommendations to provide interim relief, pending the submission of its final report
The Commission shall have power to co-opt any person or agency to assist it in its deliberations.
The Finance Division shall provide Secretariat-support to the Commission and — the Commission: shall : make.. –its recommendations within 6 Months of its constitution. While formulating its proposal/recommendations on the above terms of –** reference, the pay and pension commission would take into consideration the financial resources of the Government.
The scope of work of the Commission will include Federal and Provincial civil servants, other government servants, civilians paid from defence estimates, all Armed Forces/Civil Armed Forces personnel and holders of the posts in Management Scales and employees of such Public sector corporations/ autonomous/semi-autonomous bodies, other than Banks and DFls, which have adopted the scheme of Basic Pay Scales in toto. Employees of Public Sector Corporations/ Autonomous/Semi-Autonomous bodies who are regulated under the Pay Scales prescribed by these órganizations and the employees governed under the industrial Relations Ordinance, 1969 and/or whose financial terms of service are settled through Collective Bargaining Agents, are excluded from the scope of work of the Pay & Pension Commission.
