Government Updates Pay and Benefits for Contractual Officials

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Dhaka:The government has announced a revision in the salary and benefit structure for officials appointed on a contractual basis to various civilian posts under the Republic. This update affects positions in government and autonomous bodies, state-owned banks, and financial institutions, following the implementation of the National Pay Scale 2026 from July 1.

According to Bangladesh Sangbad Sangstha, the Finance Division of the Ministry of Finance issued a notification on October 28, detailing the revised provisions for determining the salaries, allowances, and other benefits of contractual appointees. Contractual officials appointed under different grades of the National Pay Scale 2015 before July 1, 2026, and whose contracts remain valid beyond that date, will receive salaries According to corresponding grades and steps of the National Pay Scale 2026 from July 1, subject to amendments to their existing contracts with the government.

Those appointed or to be appointed on a contractual basis after July 1, 2026, will have their contractual salaries determined based on the corresponding grade and step of the National Pay Scale 2026, under which they would have drawn their basic salaries immediately before retirement. The revised salaries and applicable contractual allowances will be provided from their respective joining dates, in accordance with the relevant provisions of the Service (Pay and Allowances) Order, 2026. In special cases, the government may set the salary separately or through a mutually agreed contract.

The notification clarified that the gross pension fixed for a contractual appointee, calculated before commutation or surrender, and any special additional pension, if applicable, will not be deducted from the salary fixed for the contractual position. It also stated that contractual service will not entitle an appointee to any increment, gratuity, or enhanced pension.

For appointments of persons other than retired government employees, the Ministry of Public Administration and the Finance Division will determine salary, allowances, and other contractual terms on a case-by-case basis, considering the merits of each case. Coordination between the authorities will be required to finalize the terms before executing the relevant contracts.

The notification further stated that all previous orders, memorandums, and instructions inconsistent with the new notification are cancelled, while earlier instructions consistent with it remain in force. Subsequent government orders will apply to salaries, allowances, and other benefits under contractual agreements.

The Finance Division issued the notification, canceling its earlier notification dated January 26, 2016, declaring that the new provisions would take effect from July 1, 2026. Joint Secretary Sharif Nazrul Islam signed the notification on behalf of the President.