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New Pay Scale for Government Employees Likely from January 2026

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October 21, 2025 12:40 pm
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Dhaka, October 21, 2025 — The National Pay Commission has finalized its draft proposal for a new pay structure for government employees, recommending a substantial salary increase ranging from 90 to 97 percent.

Sources within the commission indicated that the new pay scale is expected to be implemented before the 13th National Parliamentary Election, which is scheduled to take place in February 2025. If approved, the revised salary structure could come into effect starting January 2026.

The proposal includes a shift toward a consolidated pay system, replacing the existing framework of basic salary combined with various allowances. Under this new model, government employees would receive a single, fixed salary without additional financial or non-financial benefits. Similar systems are already in place in several developed and developing countries.

The commission has also proposed scrapping honorariums and special allowances provided for attending meetings, seminars, and training programs. These payments, deemed ethically questionable, currently cost the government nearly 1,000 crore taka annually.

Economic Adviser Dr. Salehuddin Ahmed stated that the additional funds required for the revised pay scale will be included in the revised national budget, which is set to be prepared in December 2025. However, the final implementation will depend on the publication of the official gazette notification.

The National Pay Commission was established on July 27, 2024, with the aim of creating a more equitable and sustainable compensation system for public sector employees.