The government has announced a 15 percent pension increase, along with a 25% ad hoc relief for all federal employees in grades 1 through 16 and 20% for grades 17 through 22, effective from July 1, 2024. According to the notification, employees in grades 1 to 16 will see a 25% salary increase, while officers in grades 17 to 22 will receive a 20% raise. These adjustments will be applied to the employees’ basic pay starting from July 1, 2024. Moreover, federal government retirees will benefit from a 15% increase in their pensions, applicable to both civil and armed forces retirees. Employees retiring on or after July 1, 2024, will also be eligible for this pension increase. The ad-hoc relief allowance for 2024 will be subject to income tax, admissible during leave and the entire period of LPR except during extraordinary leave. It will not be considered part of emoluments for calculating pension/gratuity and recovery of house rent. It will not be available to employees during their posting/deputation abroad but will be admissible to employees upon their repatriation from posting/deputation abroad at the rate and amount that would have been admissible had they not been posted abroad.