Budget 2023-24 Increase in Adhoc Relief HRA Medical and Conveyance Allowances

In the upcoming Budget 2023-24 which is likely to be present on 9 June 2023, there is good news for government employees. The proposal to increase the hiring, medical, and conveyance allowance by 100% is in the pipeline however cabinet division will approve it officially in the meeting.

If approved the hiring allowance for Grade 1-2 employees will be Rs. 13,182 and for Grade – 22 will be 178460.

In the Federal Budget 2023-24, three packages are under consideration for increasing the salaries and benefits of government employees. Under the leadership of Defence Minister Khawaja Asif, the preparation of recommendations for giving relief proposals in the budget has been started.

Under the proposed package 20%, 30%, or 50% increase in Adhoc allowance and 100% in HRA, medical and travelling allowance is under consideration.

Proposed Increase in All Allowances in Budget 2023-24

Type of AllowancesProposed Increment
Adhoc Relief Allowance20-50% Increase
Medical Allowance100 % Increase
House Allowance / HRA100 % Increase
Transportation / Convyance AllowanceTransportation / Conveyance Allowance

The annual estimated cost of the three packages will be prepared and presented in a special meeting of the federal cabinet on 9 June 2023.

Finance Minister Ishaq Dar will announce the privileges for employees in his budget speech. The Ministry of Finance presented the summary in the last cabinet meeting with the proposal of an increase in ad-hoc allowance by 20/30/50 %. However, the cabinet had directed to make the package more attractive and beneficial for employees.

In the Budget it is expected that hiring allowance will increase by 100%. In this case, the new hiring rates will be as given in below.

GradeNew Hiring Amount
Grade – 22 178,460/- Rs
Grade – 21142,208 /- Rs
Grade – 20118,158 / – Rs
Grade – 1993,632/ – Rs
Grade 17-1871,796/ – Rs
Grade 14-1654,260/- Rs
Grade 11-1342,924/ – Rs
Grade 7-1029,365/- Rs
Grade 3 – 618,672/- Rs
Grade 1-213,182/- Rs
Budget 2023-24 Increase in Adhoc Relief HRA Medical and Conveyance Allowances

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