This is how it is spelt in the Budget

“Government remains committed to ensure salaries, pension rights, a decent working environment, skills development and employment security, that would be more attractive as opposed to other sectors. Therefore, I also propose to set up a new Pay Commission to re – examine the overall salary structure of the public sector and formulate a National Wage Policy to address concerns of both the public sector as well as the private sector

“Speaker, I also propose to increase the allowances given to public servants by a minimum of Rs. 1,500 per month from next year. A Cost-of- Living allowance of Rs. 750 per month will be paid from January to all public servants. The balance will be provided by granting a further 5 percent of the basic salary subject to a minimum
of Rs. 750 and a maximum of Rs, 2,500 as an additional allowance, to all public servants. In order to reduce the pressure on development spending plans and contain inflationary pressures that would stem from such increases, I propose to grant 50 percent of the proposed 5 percent increase from May 2013 and the balance from September. All those in staff categories will be given 50 percent from July and the balance from October 2013.

“I also propose to revise the service related allowances formulated for Judges, University Academic Staff, Medical Practitioners, and specialized categories, recognizing their special role within the affordable limits in the Budget and capacity to sustain them over the medium term and grant 50 percent of the increase from January 2013 and the balance from July.”


Full Budget Speech: Download