Current Govt Employees Should be Included in Contributory Pension System: IMF

The International Monetary Fund (IMF) has urged the federal government to include currently serving employees in the contributory pension scheme, similar to the system applied to recruits. Sources from the Ministry of Finance told ProPakistani that efforts are underway to implement this change to bring the pensions of all civil servants in line with more sustainable, contribution-based schemes. Sources said a proposal to set the official retirement age for civil servants at 55 is also being discussed, although no final decision has been reached. The proposal is believed to face resistance, especially within the bureaucracy. Many in the civil service are not in favor of the move. The plan to fix the retirement age at 55 would apply solely to civil servants, which could lead to a significant number of bureaucrats retiring earlier than expected. The government is further considering proposals to restore the Federal Secretariat Allowance, a perk that has been frozen for over a decade, sources added.