World News: The crisis of ever-increasing inflation in Pakistan has greatly increased the financial difficulties of government employees. In view of this serious situation, the demand from the government to implement major relief measures before the country’s Federal Budget 2026-27 has once again intensified. According to ‘The Express Tribune’ report, leaders of All Government Employees Grand Alliance (AGEGA) Punjab have expressed deep concern over the declining purchasing power of public sector employees amid rising inflation.
AGEGA Punjab Chairman Khalid Sanghera and other representatives of the Alliance issued a joint statement saying that due to the skyrocketing prices of essential commodities, it has become difficult for the employees to even meet their household expenses. Due to lack of coordination between salaries and inflation, many families have to struggle hard even to live a basic life. The Alliance has also raised the issue of discrimination against state employees prominently. Leaders say that the provincial employees working in Punjab and other provinces have not yet received the benefit of 30 percent disparity allowance announced under the Federal Budget 2025-26, which should be given immediately.
Furthermore, the Alliance has strongly criticized the changes made in retirement benefits by the Punjab Government. They allege that the amendments made in the Leave Encashment Regulation in the year 2023 have significantly reduced the financial benefits available on retirement. Also, objections were raised to the pension reforms implemented on December 2, 2024, claiming that these cutback measures have increased immense economic and mental pressure on thousands of families of both current and retired employees. To address these concerns, the Alliance has demanded from the Central Government to increase the salary and pension by 50 percent in the upcoming budget, roll back the pension reforms, increase the Disparity Allowance by additional 15 percent and make a good increase in House Rent, Medical and Conveyance Allowance.
