ISLAMABAD: The Pakistan Peoples Party (PPP) has urged the federal government to introduce a 50 per cent increase in salaries and pensions for public sector employees in the upcoming Budget 2026-27, citing the rising cost of living and persistent inflation, according to sources.
The party has also proposed raising the minimum monthly wage to Rs60,000, arguing that workers and government employees require greater financial support to cope with economic challenges.
Sources within the PPP said the party believes pay and pension revisions should reflect inflationary trends and provide meaningful relief to citizens affected by increasing prices.
Despite these demands, government circles are reportedly hesitant to approve the proposed salary and pension hike. The PPP has also expressed opposition to the introduction of new taxes, maintaining that the government already generates significant revenue through existing taxation measures.
Party leaders have instead recommended exploring alternative sources of income and broadening the revenue base rather than placing an additional burden on the public.
Meanwhile, PPP insiders claimed that differences between the coalition partners have widened after the government allegedly failed to honour an agreement regarding budget consultations.
According to the sources, the government had committed to sharing detailed budget proposals with the PPP, but the party has yet to receive comprehensive information on planned taxes and the Public Sector Development Programme (PSDP).
The sources further alleged that repeated requests for details of both existing and proposed tax measures have gone unanswered, contributing to the ongoing deadlock between the two sides.
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