The oldest engineering university in Pakistan, University of Engineering & Technology (UET) Lahore, is grappling with an extreme financial crunch as it has announced a reduction in the salaries and pensions for June.
UET has been facing a financial shortage primarily due to the cut in budget imposed by the Higher Education Commission (HEC).
Non-recovery of non-refundable loan from the Punjab government to Rachna College of Engineering & Technology (RCET) and non-recovery of student dues only aggravated the dire situation for UET Lahore.
According to the official letter sent to the UET faculty and staff, the institute is facing a shortage of Rs. 93 million for the disbursement of complete salaries of all employees for June.
As per the revised salaries, Vice-Chancellor of UET will receive 50% of the normal pay for this month, BPS-18 to 21 employees will receive 65%, and BPS-17 will receive 70% of the usual salary.
The UET administration will pay 80% salary to BPS-11 to 16 employees and 90% to BPS-5 to 10 employees.
Meanwhile, BPS-1 to 4 employees will receive their full salary for June.
As for pensions, A-Class pensioners will receive 65% of their pension in June, B-Class 70% while C-class will receive 100% of their pension.
The disbursement of the salaries and pensions for June has been deferred until the availability of adequate financial resources, according to UET administration.