New pay scale: Monthly pension set at Tk18,000 to Tk70,200

The government has set the monthly pension for retired government employees at a minimum of Tk18,000 and a maximum of Tk70,200 under the new pay structure, with increases ranging from 55% to 100% depending on their existing pension amounts.

According to the gazette on the new pay structure, pensioners currently receiving up to Tk9,000 will get pensions ranging from Tk10,000 to Tk18,000.

Those receiving Tk9,001 to Tk20,000 will get a 75% to 100% increase, with their revised pensions set between Tk18,001 and Tk35,000.

For pensioners currently receiving Tk20,001 to Tk30,000, the increase will range from 65% to 75%, taking their pensions to between Tk35,001 and Tk49,000.

Those receiving Tk30,001 to Tk40,000 will get a 60% to 63% increase, with their pensions set between Tk49,001 and Tk62,000.

Pensioners currently receiving Tk40,001 or more will get a 55% increase, with their revised pensions ranging from Tk62,001 to Tk70,200.

However, those already receiving more than Tk70,200 a month will not receive any additional benefit until 1 July 2027, according to the gazette.

Two festival allowances

The new structure also abolishes the special benefit previously provided to pensioners.

Retired employees and lifelong family pensioners will receive two festival allowances each year, with each allowance equivalent to their net pension.

Pensioners will also receive arrears for the period from 1 July 2026 to the date the gazette was issued.

Pension under new pay scale

The gazette states that if an employee retires after completing post-retirement leave between 1 July 2026 and 30 June 2027, their gross and net pensions will be determined under the National Pay Scale 2026.

If an employee’s post-retirement leave ends on 30 June and they retire from 1 July, their pay and pension will also be determined under the new pay scale.