Advisor Muzammil Aslam links salary increases to federal funding

The Advisor to the Khyber Pakhtunkhwa Chief Minister on Finance, Muzammil Aslam, has announced that any future salary increases for government employees in the province will be linked to receiving funds from the federal government. This decision comes as part of a strategy to ensure financial stability and align salary adjustments with available resources.

Aslam clarified that if the federal government raises employee salaries by more than 10 percent, the provincial government will mirror the increment. However, this is contingent on the federal government settling the province's entire tax liability in a lump sum, starting from July 1.

Addressing a negotiation committee representing various government employees' associations, Aslam stressed the importance of presenting collective demands. He assured that individual association demands would be considered separately, with a focus on addressing pension reforms post the federal budget announcement.

Providing insights into the province's economic status, Aslam acknowledged the significant demands faced by the government and pledged to tackle them within the available resources. He highlighted ongoing initiatives, such as the restoration of health cards and the allocation of funds for additional relief measures.

Efforts to enhance provincial income are underway through cost-cutting measures and tax reforms. Aslam revealed that the province's total income currently constitutes 6.3 percent of the provincial budget, with the majority of funds, 93.5 percent, originating from the federal government. He cautioned that without necessary pension reforms, the government might encounter challenges in meeting future pension and salary obligations.

The announcement by Advisor Muzammil Aslam underscores the government's commitment to fiscal responsibility and prudent financial management. By linking salary increments to federal funding and addressing key economic challenges, the Khyber Pakhtunkhwa government aims to ensure sustainable growth and effective resource utilization for the benefit of all stakeholders.