Pakistan, July 4 -- The federal government has issued an official notification confirming a 10% salary increase for all federal employees from grades 1 to 22, effective July 1, 2025. This increment applies to the existing basic pay and follows the government's announcement during the federal budget 2025-26.

In a separate notification, the Ministry of Finance also approved a 30% Disparity Reduction Allowance (DRA) for the same employees. This allowance is aimed at reducing wage inequality across different government departments and ministries. It reflects the government's commitment to address long-standing pay disparities.

As per the notification, the DRA will be calculated based on the basic pay as of June 30, 2022. However, employees ...