Government Employees to Receive Salary Increases: Maximum Tk 7,800, Minimum Tk 4,000

Dhaka, Jan. 13, 2025: The government has finalized a new salary increment proposal for public employees, with increases ranging from Tk 4,000 to Tk 7,800. For the first time, dearness allowances (DA) will also be granted based on employee grades.

Under the new structure, DA rates will be 10% of basic salary for Grades 1 to 3, 20% for Grades 4 to 10, and 25% for Grades 11 to 20. Lower-grade employees will receive higher DA rates, while senior-grade officials will receive lower rates.

Following the introduction of the DA, the 5% special incentive announced by the previous government will no longer be available. Pensioned government employees will also benefit from the DA, which is expected to be disbursed starting with February’s salary, according to the Ministry of Finance.

To accommodate these changes, the government plans to reduce the development budget slightly and allocate the funds toward salary adjustments.

Senior Secretary Mokhlesur Rahman of the Ministry of Public Administration confirmed on Jan. 9 that the DA would be implemented during the current fiscal year but did not provide specific percentages at the time.

The last pay scale for government employees was introduced in 2015, and salaries have not been revised since. The 2024–25 budget, set by the outgoing Awami League government, allocated Tk 81,580 crore for salaries and benefits but did not include provisions for DA.

Historically, the government introduced a 20% DA in 2013, resulting in maximum salary increases of Tk 6,000 and minimum increases of Tk 1,300. Three years later, salaries were increased by 80% under a revised pay scale.

While public employees benefit from salary increases, the lack of mechanisms for raising wages in the private sector may impact private-sector workers and the general population.