New Pay Scale: Basic pay rise to cost Tk 37,372cr

The implementation of the new pay scale’s basic salary in two phases will cost the government Tk 37,372 crore, covering civil, defence services and judicial personnel, alongside pensioners, according to a preliminary estimate of the finance division.

Of the sum, Tk 23,311 crore will be needed for civil and defence services personnel and Tk 14,061 crore for pensioners, gratuity and lump grant.

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Govt employees to get new pay scale arrears with next salary

However, the exact funds required for this fiscal year will be determined once the pay across various grades is fixed, The Daily Star has learnt from finance ministry officials.

To roll out the ninth pay scale, Tk 44,000 crore has already been earmarked in this fiscal year’s budget.

The new pay scale will take effect retrospectively from July 1, 2026 and will unfold gradually over four phases across the current and upcoming fiscal years.

Full implementation of the restructured salaries and allowances will add an estimated Tk 1,05,580 crore to the government’s annual expenditure.

In fiscal 2026-27’s budget, Tk 1,31,284 crore has been allocated for salaries, allowances and pensions, with salaries accounting for Tk 1,06,292 crore.

Currently, Bangladesh’s public sector workforce includes 24 lakh civil and defence services employees and 9.25 lakh pensioners.

Under the revised structure, the minimum basic pay will rise from Tk 8,250 to Tk 20,000, while the maximum fixed basic salary will increase from Tk 78,000 to Tk 1,56,000.

Special grades remain in place for top officials: the cabinet secretary and principal secretary will draw a basic salary of Tk 1,72,000, while senior secretaries will receive Tk 1,64,000.

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The new national pay scale and the cost of living

With the addition of Tk 40,000 as house rent allowance, Tk 4,000 for medical, Tk 2,000 for entertainment, Tk 500 for mobile and Tk 300 for washing, the total monthly payout for the cabinet secretary and principal secretary comes to Tk 2,47,600, alongside full-time vehicle privileges and other perks.

Grade 1 officials will draw a basic salary of Tk 1,56,000, bringing their gross monthly earnings to approximately Tk 2.25 lakh.

Fresh recruits entering public service in Grade 9 via the BCS examination will start with a gross monthly salary of Tk 66,800, up from Tk 36,800 previously.

Meanwhile, Grade 20 employees stationed in Dhaka will see their total monthly pay rise to Tk 35,500, up from the previous scale’s Tk 15,112.

Employees in Grades 10 to 20 will receive a 50 percent increase in their basic salaries in the first phase, effective from July 1. They will receive a further 25 percent increase from January 2027 and the remaining 25 percent from July 2027.

For officials in Grades 1 to 9, basic salaries will rise by 40 percent in the first phase, followed by another 30 percent increase from January 2027 and the final 30 percent from July 2027.

The fourth and final phase will begin on January 1, 2028, when all other allowances for employees across the 20 grades will be revised.