Gazette notification of new salary structure 'This Week'
Cabinet Secretary Nasimul Gani. Photo taken from video stream. Agamir Somoy.
After the cabinet approval, the gazette notifications for the new salary structure for government employees will be issued this week.
Cabinet Secretary Nasimul Gani informed this at a press conference on Monday at the Secretariat, following the cabinet's approval of the new pay structure.
The cabinet has approved the 9th pay structure, raising government employees' salaries by up to 142 percent. Under this increase, the basic salary in the lowest grade stands at 20,000 taka, while the basic salary in the highest grade will be 156,000 taka.
At the press conference, the Cabinet Secretary said the salary structure will be implemented over the next two fiscal years. It will take effect from July 1 of the current year.
In response to journalists' questions about when the notification for the new salary structure might be issued, he said, "It will be done this week, inshallah. There won't be just one gazette; there will be several."
The Cabinet Secretary said that after legal vetting to implement the new salary structure, several statutory regulatory orders (SROs) will be issued on a few matters.
He did not wish to provide details about the time scale and selection grade at this moment. He said those matters would become clear after the relevant SROs are issued.
Basic Salary in 3 Phases, Allowances Effective in 2028
The Cabinet Secretary said the national pay scale will take effect from last July 1. However, it will be implemented in phases.
The salary increase for approximately 2.4 million government employees will cost the government an additional 1,05,580 crore taka per year. Separate funds will be allocated for this in the fiscal year's budget.
Nasimul Gani said, considering the government's financial capacity and the overall impact on inflation, it has been decided to implement it gradually in the current 2026-27 and next 2027-28 fiscal years.
The basic salary will be implemented in a total of three phases between July 1, 2026, and July 1, 2027. After that, a decision has been made to implement the allowances simultaneously from January 1, 2028, the Cabinet Secretary said.
When asked about the specific timeline for the three phases, he said, "Then perhaps the first one will run for six months, effectively from this July. After six months, another one will take effect, and at the end, another one will take effect."
The Cabinet Secretary said the three-phase implementation would be completed by the end of 2027, and from 2028, full benefits including salary and allowances will take effect.
The 8th pay structure was last implemented in 2015. Since then, no new salary structure has been introduced for government employees for nearly 12 years. Considering inflation and the rising cost of living, the new pay structure has now been introduced.
The Cabinet Secretary said, "Salaries have not increased for 12 years. Where pay scales usually change every five years, this time it hasn't happened in 12 years. So this has been very difficult for them, and their standard of living has also decreased significantly. Keeping that in mind, a balance has been struck, and whatever could be done considering both sides has been done."
Higher Increases for Lower Grades
The new pay structure retains the existing 20 grades. Basic salaries across various grades have increased between 100% and 142%, with higher percentage increases assigned to the lower grades.
For Grades 1 through 11, basic salaries have increased by up to 100%. The fixed basic pay for Grade 1 has doubled from ৳78,000 to ৳156,000. Meanwhile, basic salaries have increased by:
12th Grade: 115%
13th Grade: 118%
14th Grade: 130%
15th & 16th Grades: 135%
17th Grade: 138%
18th Grade: 139%
19th Grade: 141%
20th Grade: 142%
The ratio between the lowest and highest grades' salaries has been reduced from 1:1.945 to 1:1.78, according to the Cabinet Secretary.
"The higher pay increase for lower-grade employees was an intentional decision," he explained. "This is an effort to offset the cost of living and the reduction in real income for lower-income staff."
Considering the Impact on Inflation
Regarding the funding required for the revised salaries, the Cabinet Secretary noted that the full amount will not be needed all at once, as the pay scale will be implemented in phases over the next two years.
"The full financial impact will only take effect once fully implemented. A bulk portion of the expenditure is already being incurred," he added.
The Cabinet Secretary assured that the government has evaluated how the pay raise might affect market dynamics and inflation.
"Everything has been taken into account. Otherwise, the full payout would have been disbursed immediately," he said.
When asked how the government plans to tackle the market impact of the salary hike, Nasimul Gani remarked, "Let's wait and see how the government handles it. You will see."
