Federal Employees Granted 25% Disparity Reduction Allowance

The federal government issued a grant of 25 percent Disparity Reduction Allowance for Grade 1-19 civil employees on Wednesday, which has been effective from 1 March 2021.

A notification from the Finance Division read:

This allowance shall be admissible to civil employees in BPS 1-19 of the Federal Government, (including employees of the Federal Secretariat and attached departments), who have never been allowed additional allowance/allowances equal to or more than 100% of the basic pay (whether frozen or not) or performance allowance.


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However, this allowance is not applicable to the employees of 58 departments who are already receiving higher salaries.

The excluded departments are:

  1. The President House
  2. The PM Secretariat
  3. The Federal Board of Revenue
  4. Health personnel/ Health establishments
  5. The National Accountability Bureau
  6. All the Superior Courts
  7. The Law & Justice Commission of Pakistan
  8. The Islamabad Capital Territory Police
  9. The National Highways & Motorways Police
  10. The Islamabad Model Traffic Police
  11. The Airport Security Force
  12. The Civil Armed Forces
  13. The Intelligence Bureau
  14. The Inter-Services Intelligence
  15. The Federal Investigation Agency
  16. The National Highways & Motorways Police
  17. The National Assembly
  18. The Senate Secretariat
  19. The Parliamentary Affairs Division
  20. The District Population Welfare Office
  21. The Clinical Regional Training Institute
  22. The Directorate General of Special Education
  23. The National Institute of Rehabilitative Medicines
  24. National Institute of Special Education
  25. Rehabilitation Centre for Children with Developmental Disorders Islamabad
  26. The National Council for Rehabilitation
  27. The National Braille Press Islamabad
  28. The Rehabilitation Unit Vocational Rehabilitation & Employment of Disabled persons Islamabad
  29. The National Mobility & Independence Training Centre
  30. The National Training Centre for Special Persons G-9/2 Islamabad
  31. The Vocational Rehabilitation & Employment of Disabled persons SC-1 Islamabad
  32. Provision of Hostel facilities at NSEC VHC Islamabad
  33. The National Special Education Centre for PHC Islamabad
  34. The National Special Education Centre, National Library & Resource Centre Islamabad
  35. The National Trust for the Disabled
  36. The Central Health Establishment and its Field Offices
  37. The Appellate Tribunal Inland Revenue

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The decision taken by the Ministry of Finance is in accordance with an agreement between the protesting government officers and the members of the federal Cabinet last month.


  • Had it also been clarified that this allowance is also admissible to civ employees paid out of defence estimates. Because they were not granted 100% allce when given to uniform personnel.


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