Pakistan Budget 2026-27: PPP Seeks 50% Salary Increase and Rs 60,000 Minimum Wage

As the federal government prepares to unveil the Pakistan Budget 2026-27, the Pakistan Peoples Party (PPP) has put forward key demands aimed at providing financial relief to government employees and low-income workers amid rising inflation.

The PPP has recommended a 50 percent salary and pension hike for government employees and a minimum Rs60,000 monthly wage, according to sources cited by ARY News.

50% Salary Increase Proposed for Government Employees

PPP leaders think government employees have been badly hit by inflation and the increasing cost of living. The party has called for a significant raise in the upcoming budget for public servants to deal with economic pressures.

The PPP has indicated that the raise in salaries and pensions should be commensurate with the inflation rate and the financial strain on the household sector of Pakistan, sources said.

PPP Calls for Minimum Wage of Rs60,000

In another significant suggestion, the PPP has proposed that Pakistan put a minimum monthly wage at Rs60,000. The party says that the current wage regime is not enough to cover the basic cost of living, given the high prices of food, electricity, fuel and other commodities.

The proposal is likely to gain traction among workers from both the public and private sectors, who have also called for pay raises.

Government Reluctant to Accept PPP Demands

However, sources indicate that the federal government is not inclined to approve a 50 percent rise in salaries and pensions, partly because of budget concerns and current talks with international financial institutions.

The government is said to be studying budgetary possibilities, trying to address the revenue target and expenditure commitments.

PPP Opposes New Taxes in Budget 2026-27

The PPP has also opposed the new tax items in the upcoming federal budget. Party estimates suggest that the government is already collecting substantial taxes on the existing tax base and should look to broaden the tax base and secure new revenue.

PPP officials said more taxes would simply add to the economic burden on already inflationary citizens suffering from high costs of living.

Budget Deadlock Between PPP and Government

The party has reportedly had public row with the federal government over budget consultations. The PPP says the government has flouted an accord to share detailed budget proposals prior to the official announcement.

According to reports, party representatives asked for a detailed draft of the budget and information on proposed taxes and the Public Sector Development Programme (PSDP), which they have not yet received.

The government has not provided information about existing or planned taxes, adding to the lack of progress between the sides ahead of the federal budget announcement, the PPP sources said.

Pakistan Budget 2026-27 in Focus

The federal budget, likely to be released soon, could be the focus of salary increases, pension changes, minimum wage increases and tax policy considerations that dominate the national economic discussion. Government officials, pensioners, companies and labour organisations will be watching closely to see if the government’s final budget includes any of the most significant demands of the PPP.