KP Increases Conveyance Allowance by 50% for Employees

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KP Increases Conveyance Allowance by 50% for Employees

The Khyber Pakhtunkhwa (KP) government has approved a 50 percent increase in the monthly conveyance allowance for government employees across all pay scales. The revised rates have been officially notified by the KP Finance Department and will benefit employees from Grade 1 to Grade 20, as well as officers in higher grades.

According to the official notification, the increase forms part of the provincial government’s revised compensation package for public sector employees. The enhanced conveyance allowance will take effect as specified in the notification issued by the Finance Department.

Under the revised structure, employees in Grades 1 to 4 will now receive a monthly conveyance allowance of Rs2,677, compared with the previous amount of Rs1,785. The increase is intended to help employees cope with rising transportation costs.

Employees serving in Grades 5 to 10 will receive a revised monthly allowance of Rs2,898. Meanwhile, the conveyance allowance for employees in Grades 11 to 15 has been increased to Rs4,284 under the new pay structure.

Officers in Grades 16 to 20 and above will now receive a monthly conveyance allowance of Rs7,500, according to the Finance Department’s notification. The revised rates apply across all eligible government departments in the province.

The increase is part of the KP government’s broader efforts to improve the financial benefits available to public sector employees. Officials said the revised allowance is aimed at easing the impact of increasing commuting expenses faced by government workers.

Earlier, the KP cabinet also approved a 100 percent increase in the performance allowance for government officers serving in the attorney cadre. Under the revised policy, the allowance has been doubled from the previous rate of 60 percent.

According to the notification, the performance allowance for attorney cadre officers will be equal to the officer’s initial basic pay under the 2022 pay scale. However, it will remain subject to income tax and will not be included in pension or gratuity calculations. The allowance will also not be payable during extraordinary leave, long-term leave or suspension.

Also read: Punjab Government Announces New Allowance for Teachers

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