Government Employees to Receive Nearly Three Months’ Salary Arrears with October Pay

 

Government Employees to Receive Nearly Three Months’ Salary Arrears with October Pay

Government officials and employees are set to receive nearly three months of salary arrears in a lump-sum payment under the country’s new pay structure. The exact amount will vary from one employee to another, depending on their new basic salary and pay fixation.

The pay fixation process will begin on Monday and is expected to be completed by 20 October, according to sources in the Finance Division of the Ministry of Finance.

The new salaries will be determined through the pay fixation module of iBAS++, the government’s integrated budget and accounting system. Employees will have to log into the system and enter or verify information related to their employment.

They will need to provide details such as their National Identity Card number, date of birth, current designation and grade, joining date and existing basic salary. Previous pay fixation records will also have to be checked.

Once the new basic salary is determined, the arrears will be calculated based on the difference between the old and new salaries and the date from which the revised salary becomes effective.

Arrears will vary by employee

Finance Division officials said employees will receive three months of arrears after completing the pay fixation process. However, the amount will not be identical for everyone.

The arrears will depend on several factors, including an employee’s grade, current basic salary, newly fixed salary and the effective date of the revised pay.

Employees who have received promotions, transfers, time scales, selection grades or higher grades will also have to provide the relevant information. They should keep office orders and other supporting documents ready for verification.

Officials have advised employees to carefully check their names, NID numbers, dates of birth, designations, grades and salary information. Errors or incomplete information could delay or complicate the pay fixation process.

The mobile phone number registered with iBAS++ will also be required. Employees without an NID will have to complete the necessary application process after updating their date of birth and other information in their official service records.

New pay structure introduced after 11 years

The government issued a gazette notification on 19 September introducing a new national pay structure for government employees, more than 11 years after the previous one.

Under the new structure, the minimum basic salary has been set at Tk 20,000, while the maximum is Tk 156,000.

The revised salaries and allowances will be implemented in phases during the 2026–27 and 2027–28 financial years.

The first phase will cover 1 July to 31 December 2026, the second phase will run from 1 January to 30 June 2027, and the third phase will begin on 1 July 2027. The revised allowances will take effect from 1 January 2028.

According to the gazette, the new salary will be calculated based on an employee’s basic salary as of 30 June 2026.

Employees will receive 40 per cent of the difference between their old and new basic salaries for the period from 1 July to 31 December 2026. The amount will increase to 70 per cent from 1 January to 30 June 2027. From 1 July 2027, the full revised basic salary will come into effect.

Finance Division sources said Tk 370 billion has been allocated in the current fiscal year to cover 70 per cent of the difference in basic salaries through two instalments.

Accounts offices to verify employee information

After employees submit their information online, the relevant accounts offices will verify the details against official records and supporting documents.

If discrepancies are found, employees may be required to correct their information. Simply submitting the information online will not complete the process; the details must match previous service records and pay fixation information.

Employees who encounter difficulties during online submission will be able to seek assistance from the relevant accounts officials.

After the pay fixation is finalised, salary bills will be prepared according to the newly determined basic salaries. The arrears payable to each employee will also be calculated at that stage.

To help ensure a smooth process, officials from government accounts offices are receiving online training. The training is being conducted by iBAS++ under the Finance Division’s Strengthening Public Financial Management to Enable Service Delivery (SPFMS) programme.

Officials from the offices of the Chief Accounts and Finance Officer, Divisional Controller of Accounts, District Accounts and Finance Officer and Upazila Accounts Officer are participating in the training.

Complications over previous higher grades

There are also some complications in calculating salaries for employees who previously received time scales, selection grades or higher grades, according to Finance Division officials.

Under the new pay structure, a permanent employee who completes eight years in the same post without receiving a promotion and whose performance is satisfactory will become eligible for the next higher grade. After receiving the first higher grade, the employee can qualify for a second higher grade after completing another six years in the same post.

However, officials said difficulties have arisen in applying these provisions to employees who received time scales, selection grades or higher grades under the previous pay structure. The Finance Division is working to resolve these issues.

According to a Finance Division order, employees who received two or more selection grades, time scales or higher grades while holding the same post under the previous pay structure will not be entitled to another higher grade in that post under the new system.

However, employees who had received only one higher scale or grade in the same post as of 30 June 2026 will be eligible for a second higher grade after completing another six years.

Finance Division sources said that during the pay fixation period from 5 to 20 October, employees’ previous promotions, higher grades and pay fixation records must be carefully verified along with their current salaries.

Accurate verification of these records will be essential to ensure that the new basic salary and the amount of arrears are calculated correctly.