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Next govt to decide on new pay scale for public servants

  //business-finance.news-articles.net/content/202 .. decide-on-new-pay-scale-for-public-servants.html
  Published in Business and Finance on Sunday, November 9th 2025 at 5:58 GMT by The Daily Star
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Bangladesh’s Public‑Servant Pay Scale to Be Restructed by the Next Administration

In a move that has sparked discussion across the country’s civil‑service community, a recent article in The Daily Star highlighted the government’s intention to revamp the pay structure of public servants in the coming years. While the current salary regime has long been considered outdated, officials say a new pay scale will be adopted once the next administration takes office. The announcement—touted in the Business section of the newspaper—draws attention to the urgent need to address wage stagnation, inflationary pressures, and the need for a more modern remuneration system.

Background: An Outdated Framework

The present pay scale system, inherited from the 1990s, has been criticized for failing to keep pace with rising living costs. Since the last revision in 1995, the purchasing power of civil‑service salaries has eroded significantly. While many public‑sector employees received incremental increases in the past, these were largely nominal and did not match inflation, leading to a gradual decline in real wages.

Moreover, the system is widely considered opaque. Pay grades are determined through a combination of statutory rank, experience, and a limited range of allowances that are difficult to negotiate. The Civil Service Board, which oversees the administration of these salaries, has been under pressure to adopt a transparent and flexible approach that reflects the modern demands of public service.

The Government’s Plan

According to the article, the Ministry of Public Administration will take the lead in drafting the new pay scale, in consultation with the Ministry of Finance and the Prime Minister’s Office. A key feature of the proposal is a more dynamic pay structure that would factor in performance, skill sets, and geographic differentials. The plan also contemplates periodic adjustments tied to inflation indices, which would reduce the lag between market realities and civil‑service compensation.

Officials have indicated that the new framework will be presented to the next elected government for formal adoption. The article notes that this timing is meant to ensure a smooth transition and to align the pay scale with the broader economic and policy objectives of the incoming administration. The government hopes that a more equitable and performance‑based system will not only enhance employee morale but also improve the quality of public services.

Stakeholder Perspectives

Civil‑service unions have welcomed the move but remain cautious. “A new pay scale is a positive step, but the real test will be in its implementation,” said a spokesperson for the Bangladesh Civil Service Association. “We want to see concrete measures for regular updates, clear performance metrics, and fair allocation of allowances.” Trade unions, representing a range of public‑sector workers, have called for a comprehensive review of the entire salary spectrum, including stipends and special allowances that currently vary widely across departments.

Opposition parties have expressed concern that the proposed adjustments may strain the public‑budget. “We must balance fiscal responsibility with fair wages,” said a member of the opposition’s economic policy committee. The article references a link to a Daily Star opinion piece titled “Public‑sector salaries: Balancing equity and fiscal prudence,” which further discusses how a revised pay scale could be aligned with macroeconomic stability.

Impact on Public Service Delivery

The article argues that better compensation could lead to higher recruitment quality and lower attrition rates in critical public‑sector roles, such as education, health, and law enforcement. In sectors where the government is already investing heavily—like teacher salaries, which were recently increased to 23,000 BDT per month—the article notes that aligning these with the new pay scale could create a more coherent and competitive compensation structure across public services.

Linking to a Daily Star piece on “Educational Salaries: Why Teachers Need More” highlights how teacher pay reforms are part of a broader strategy to raise the public‑sector wage framework. It also references the Ministry of Education’s recent policy on merit‑based pay for teachers, showing the alignment between sector‑specific reforms and the overall pay‑scale overhaul.

A Roadmap for the Next Administration

While the article does not disclose a detailed timeline, it signals that the proposal will undergo a rigorous review by the Ministry of Finance, followed by parliamentary scrutiny. A draft bill is expected to be circulated to the parliament in the next fiscal year, after which the new pay scale will be formalized by the incoming government.

The article also links to the official Bangladesh Gazette publication, which contains the most recent circular on public‑service remuneration. By comparing the current circular with the proposed changes, stakeholders can assess the scope of the revision.

Conclusion

The Daily Star article outlines a significant development in Bangladesh’s public‑sector compensation policy. By advocating for a dynamic, performance‑based pay scale that incorporates inflationary adjustments and geographic differentials, the government seeks to modernize an archaic system that has long lagged behind economic realities. While unions and opposition parties voice both support and caution, the overarching narrative is clear: a revamped pay scale could enhance morale, attract talent, and ultimately strengthen public service delivery. The next administration will have the responsibility—and the opportunity—to turn this blueprint into a tangible, equitable framework for all public servants in Bangladesh.