Revamping Civil Servant Compensation: A Response to Rising Living Costs?

Revamping Civil Servant Compensation: A Response to Rising Living Costs?

Concerns regarding the escalating cost of living and the need for a reassessment of civil servants’ allowances—covering meals, housing, acting, rural, and maritime transfer—were discussed in the Ministry of Civil Service’s 2021-2022 Annual Report. This review was carried out by the Standing Committee on Foreign Affairs and Defence and noted that amendments to these allowances had already been drafted last year and recommended to the Finance Ministry for the 2024-2025 budget. However, financial challenges have delayed these proposed changes.

The report highlighted that General Orders from 2011 are currently under consideration, with consultations taking place among unions and government ministries, aiming for implementation by August. In response to ongoing personnel retention challenges within ministries, the committee recognized the importance of a multifaceted strategy. This includes considering adjustments to salary structures, providing retention bonuses for key positions, and ensuring that public sector pay scales are competitive with the market.

The report also outlined additional proposed measures such as career advancement paths, performance-related incentives, continuous professional development opportunities, improved workplace conditions, and robust grievance resolution processes. The committee emphasized maintaining active dialogues with unions and staff associations and called for the introduction of structured mentorship programs to foster leadership skills among civil servants.

Moreover, the committee praised the Civil Service Ministry for making these matters a priority in its proposals for the upcoming 2025-2026 National Budget and encouraged a comprehensive review of the civil service allowance systems. An annual audit of performance-based systems was also recommended to ensure that staff retention strategies are effectively integrated into operational plans across ministries and departments.

This ongoing focus on civil service reform and employee welfare reflects a growing recognition of the challenges faced by public employees and the importance of aligning compensation with the rising cost of living. The intention behind these initiatives suggests a hopeful trajectory toward improved job satisfaction and stability for civil servants, ultimately contributing to a more efficient and responsive public service.


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