Federal Government Approves Landmark Special Dispensation Policy 2023

Special Dispensation Policy 2023 for Federal Employees: The Government of Pakistan has introduced a landmark special dispensation policy for federal civil servants. Issued by the Ministry of Finance, this initiative grants substantial financial benefits, including higher pay scales and additional increments, to employees in BPS-1 through BPS-16. This policy aims to address long-standing pay disparities and reward long-serving staff across the federal government.

Special Dispensation Policy 2023 Official Notification Detail

The Ministry of Finance issued Special Dispensation Policy 2023 vide Office Memorandum No. 9(7)R-1/2014-62/2023 on February 14, 2023. The directive, signed by Section Officer Muhammad Younas Tahir, formalizes the Prime Minister’s approval for this special dispensation.

Key Notification Highlights

FeatureDetails
Issuing AuthorityMinistry of Finance, Government of Pakistan
Notification No.9(7)R-1/2014-62/2023
Date IssuedFebruary 14, 2023
Effective DateJanuary 1, 2023
BeneficiariesFederal civil servants in BPS-1 to BPS-16 (excluding Defence Estimates)
Maximum BenefitTwo higher pay scales for BPS-1 to BPS-5 employees
Post UpgradationsLDC (BPS-9 to BPS-11) and UDC (BPS-11 to BPS-13)
OversightAnomaly Committee under Finance Division

Original Text

No. 9(7)R-1/2014-62/2023

Islamabad, the 14th February, 2023

Subject: SPECIAL DISPENSATION FOR THE CIVIL SERVANTS IN THE FEDERAL GOVERNMENT FOR THE EMPLOYEES IN BPS-1 TO BPS-16.

The undersigned is directed to convey that the Prime Minister has been pleased to accord approval to the grant of special dispensation for the Civil Servants (BPS-1 to BPS-15) in the Federal Government as per following pattern:-

a. The incumbents in BPS-01 to BPS-05 will be granted two higher pay scales as one time dispensation, if they have not availed time scale under Time Scale policy-2022. However, their substantive pay scales will remain unchanged.

b. The incumbents in BPS-01 to BPS-05 will be granted one higher pay scale as one time dispensation, if they have availed time scale under Time Scale Policy-2022. However, their substantive pay scales will remain un-changed.

c. The incumbents in BPS-06 to BPS-15 will be granted next higher scale as one time dispensation, if they have not availed time scale under Time Scale Policy-2022. However, their substantive pay scales will remain un-changed.

d. The incumbents in BPS-06 to BPS-15 who have already availed benefit of time scale as per Time Scale Policy-2022 will only be granted one additional increment of their current pay scale as one time dispensation.

e. Employees in BPS-16 will be granted one additional increment as one time dispensation.

f. The post of Lower Division Clerk will be upgraded from BPS-09 to BPS-11 and that of Upper Division Clerk from BPS-11 to BPS-13 alongwith incumbents. Recruitment Rules will be amended by Establishment Division accordingly as per up-gradation policy.

  1. The above mentioned special dispensations shall be subject to following conditions:

i) The dispensation shall only be admissible to those Civil Servants of Federal Government who are in BPS-01 to BPS-16 (excluding employees paid out of Defence Estimates) and are in receipt of Disparity Reduction Allowances.

ii) This dispensation shall not be admissible to an employee who is currently drawing the pay of BPS-17 by whatsoever means.

iii) One chance of grant of higher Time Scale, admissible under Time Scale Policy-2022, shall be considered as lapsed in respect of employees who avail benefit under this dispensation.

iv) This dispensation shall not involve any upgradation of posts except the posts of LDC/UDC.

v) No premature increment shall be admissible on grant of higher pay scale under this dispensation.

vi) The beneficiary of grant of higher pay scale under this dispensation shall continue to draw allowances/perks/privileges/etc. sanctioned for own substantive pay scale. The substantive pay scale is a pay scale which is acquired by a Civil Servant on regular basis through initial appointment/by means of promotion/appointment by transfer.

vii) The dispensation at para 1(c, d) will not be applicable to LDCs and UDCs whose posts have been upgraded under para 1(f).

viii) The phrase in para 2(i) “and who are in receipt of Disparity Reduction Allowances” shall stand omitted in case of the President’s Secretariat (Public), President’s Secretariat (Personal), Prime Minister’s Office (Public) and Prime Minister’s Office (Internal).

ix) These dispensations will be effective from 01-01-2023.

x) Finance Division will notify an Anomaly Committee to address the issues arising from the implementation of this dispensation, and the decision of the Committee shall be final. However, for any variation/amendments in this dispensation, the recommendation of the Anomaly Committee shall require Prime Minister’s approval.


(Muhammad Younas Tahir)
Section Officer (R-I)
Tele: 9245843

All Ministries/Divisions/DEPARTMENTS:


Distribution Distribution List

  1. President’s Secretariat (Public), Islamabad.
  2. President’s Secretariat (Personal), Islamabad.
  3. Prime Minister’s Secretariat (Internal), Islamabad.
  4. Prime Minister’s Secretariat (Public), Islamabad.
  5. National Assembly Secretariat, Islamabad.
  6. Senate Secretariat, Islamabad.
  7. Election Commission of Pakistan, Islamabad.
  8. Supreme Court of Pakistan, Islamabad.
  9. Federal Shariat Court, Islamabad.
  10. Auditor General of Pakistan, Islamabad.
  11. Controller General of Accounts, Islamabad.
  12. AGPR, Islamabad/Lahore/Peshawar/Karachi/Quetta.
  13. Military Accountant General, Rawalpindi.
  14. All Financial Advisers/Deputy Financial Advisors attached to Ministries/Divisions and all officers of Finance Division.
  15. Chief Accounts Officer, M/o Foreign Affairs, Islamabad.
  16. Financial Adviser and Chief Accounts Officer, Pakistan Railways, Lahore.
  17. All Chief Secretaries/Finance Secretaries of the Government of Punjab/Sindh/KPK/Balochistan & Azad State of Jammu & Kashmir & Gilgit-Baltistan.
  18. Capital Development Authority, Islamabad.
  19. Office of the Chief Commissioner, Islamabad.
  20. Federal Public Service Commission, F-5/1, Agha Khan Road, Islamabad.
  21. Secretary, Wafaqi Mohtasib (Ombudsman)’s Secretariat, Islamabad.
  22. Pakistan Atomic Energy Commission, Islamabad.
  23. Central Directorate of National Savings, Islamabad.
  24. National Accountability Bureau, Islamabad.
  25. Member (Finance), KRL, P.O.Box No.1384, Islamabad.
  26. Intelligence Bureau, Islamabad.
  27. Pakistan Mint, Lahore.
  28. DG Post Offices, Islamabad.
  29. Secretariat Training Institute, Islamabad.
  30. Directorate General of Inspection & Training, Customs & Central Excise, 8th Floor, New Customs House, Karachi.
  31. National Re-Construction Bureau, Prime Minister’s Secretariat, Islamabad.
  32. Earthquake Reconstruction & Rehabilitation Authority (ERRA), P.M. Sect. (Public), Islamabad.
  33. Federal Tax Ombudsman’s Secretariat, Islamabad.
  34. Cost Accounts Organization, Islamabad.
  35. Web Master

(Muhammad Younas Tahir)
Section Officer (R-I)


Summary

The special dispensation policy 2023 marks a decisive effort by the federal government to enhance the financial well-being of its civil servants. By granting higher pay scales and upgrading key clerical posts, the policy acknowledges the contributions of employees in the foundational grades. Federal government employees in BPS-1 to BPS-16 should consult their respective departmental finance sections to ensure the timely implementation of this benefit, referencing the official office memorandum.

See Also

Higher Time Scale Rental Ceilings-Clarification 2026

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