Islamabad: Most Senior Minister of Azad Jammu and Kashmir and Kashmir and Finance Minister Colonel (Retd.) Waqar Ahmed Noor, has announced an increase in employees’ salaries on the pattern of the federal government.
During a press conference in Islamabad’s Jammu and Kashmir House, accompanied by key government figures including Sardar Mir Akbar Khan, Sardar Javed Ayub, Abdul Majid Khan, Azhar Siddique, Akbar Ibrahim, Sardar Fahim Akhtar Rabbani, and Chief of Staff Colonel (Retd.) Ma’roof, the Senior Minister and Finance Minister stated that a raise in the salaries of AJK employees has been implemented. This adjustment, amounting to 18 billion rupees, aims to address the rising cost of living. The raise ranges from 30% for employees in grades 16 to 20, to 35% for grades 1 to 15, and a 17.50% increase for pensioners.
The decision for this increment was made by Prime Minister Chaudhry Anwar-ul-Haq, and it was endorsed by the entire government cabinet and parliamentary parties, acknowledging the necessity due to inflation. The Finance Minister clarified that while an initial basic salary increase would have cost 11.50 billion rupees, the decision to use the running basic pay led to a total cost of 18 billion rupees. The government had expected a 3.4% share in divisible pool revenue, which amounts to 90 billion rupees, but only received 70 billion rupees, affecting developmental budget allocations. Additionally, the Finance Minister highlighted that during the last fiscal year, the government should have received 28 billion rupees, but only received 9 billion rupees in 10 months. However, the last two months saw an increase of 11 billion rupees, creating an 8-billion-rupee shortfall.
In the pursuit of salary increments, parliamentary lawmakers surrendered their development fund. Further discussions occurred between the Federal Finance Minister and the Prime Minister. When questioned, the Finance Minister assured that arrears would be disbursed from July 1st, and the salary hike would accompany it. The budget allocated for the first quarter was 13.7 billion rupees, out of which only 10 billion rupees have been provided. Similarly, for developmental projects, a required amount of 4.2 billion rupees was expected, but only 1 billion rupees has been allocated. Responding to queries, the Finance Minister shared that 90 crore rupees are being spent monthly on flour subsidies, while government officials reaffirmed their unity against rumours of a vote of no confidence, emphasizing full support for the Prime Minister. Minister Sardar Javed Ayub reiterated that the People’s Party remains a part of the ruling coalition, committed to serving the people of Azad Kashmir.