LAHORE In its third consecutive fiscal outlay 2010-11, following into the footsteps of the Centre like the previous year the Punjab government has announced 50 per cent adhoc monthly allowance for its employees, 20 per cent increase in pension and medical allowances for the retired. The increase in the pay, pension and medical allowance will amount to Rs54 billion more than the present expenses, and this enhancement will be applicable from July 1 this year. Punjab Finance Minister Tanveer Ashraf Kaira, while giving details on the floor of the Punjab Assembly, opined that despite limited resources, the provincial government would increase pays and pensions of its present and previous employees. Under this, the provincial employees would get an adhoc monthly allowance of 50 per cent of their pays. However, those who have already got additional allowance either equal or more than their pays, would not fall in this category. Secondly, for those pensioners, who retired prior to 2001, would get an increase of 20 per cent, while post-2001 retirees would be given 15 per cent enhancement in their pension. Moreover, minimum pension has been increased from Rs 2000 to Rs 3000, and in case of death of the pensioner, the percentage of the pension has been increased from 50 to 75 per cent. Thirdly, the government has also decided to give medical allowance to the pensioners, as per which BS-1 to 16 would get 25 per cent, while BS-16 and above would be given 20 per cent of their pension. The monthly medical allowance for government employees from BS-1 to 15 has been doubled to that of what they are getting at the moment. However, for BS-16 to 22 no medical allowance has been announced for which the Minister has promised that it would be done in the fiscal book 2011-12. In the last budget, the provincial government had increased salaries to 20 per cent increase from BS-1 to BS-16, and in the pensions of those who retired more than 11 years ago. Earlier, during the cabinet meeting, chaired by Chief Minister Punjab Shahbaz Sharif, the matter regarding the increases in salaries remained under discussion for a long time. As per sources, the CM was of the opinion that the salary increase for BS-1 to 16 should be more than the officer category. However, the PPP ministers, especially Senior Minister Raja Riaz wanted that the decision should be made according to the Federal Governments; otherwise it would send a wrong message to the Centre. He is said to have also maintained that the Punjab government should not increase salaries by more than 50 per cent because later, it would become difficult for the provincial government to get additional funds since the Centre could use it as a pretext and assert that the Punjab already had huge resources.