The government is considering introducing new pay scales and grades for top bureaucrats and federal ministries to improve efficiency.
A committee on civil service reforms discussed the idea of adding new payscales and grades—BPS-23 and BPS-24. The members also talked about splitting ministries based on workload, merging allowances, and making some allowances tax-free.
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During the meeting, members questioned whether the current Basic Pay Scale (BPS) system should continue. In response, an additional secretary from the Finance Division explained that a working group had considered the idea but found that scrapping BPS would complicate salaries. Without BPS, different services would need separate pay structures, which is not practical.
The committee chair asked how salaries were managed before BPS was introduced in 1973. The additional secretary explained that before BPS, employees were paid based on a classification system, from Class-I (highly skilled) to Class-IV (unskilled).
The secretary for planning and development inquired about the Pay and Pension Commission’s stance on BPS. The additional finance secretary responded that the commission had decided to keep the current system.
The planning secretary supported the idea of classifying ministries and divisions based on their nature of work and workload to determine allowances accordingly.
The committee chair noted that BPS-23 and BPS-24 should only be introduced for ministries and divisions handling technical work with a heavy workload. The committee also reviewed proposals to improve federal employee benefits, such as housing for retirees and performance-based bonuses. The chair directed the working groups to finalize their recommendations for the next meeting.
