The government has decided to trim pension payouts and raise the retirement age from 60 to 62 for Islamabad police and other government employees.
The Establishment Division has submitted the proposal to a higher authority for final approval, reported a national daily.
If approved, pensions could see a 30 percent cut, with retirees entitled to a gross pension based on 70 percent of their pensionable salaries from the last thirty-six months of service.
Concerns have been raised about the proposed penalty in the draft pertaining to early retirement, which stands at 3 percent per year and is seen as overly harsh, especially considering legitimate reasons for some employees seeking early retirement.
The draft notification also includes provisions for annual pay increments, a measure that some argue is misplaced in the context of the proposal.