The federal government has withdrawn the restriction that prevented retired government employees from receiving both pension and salary at the same time after re-employment.
The Ministry of Finance has revoked notifications issued in April and June 2025 with immediate effect, restoring the previous policy.
Under the April 2025 notification, retired employees over the age of 60 were required to choose either a pension or a salary upon re-employment.
In June, partial relief was given, allowing pensions to continue but reducing salaries by an amount equal to the pension. Both notifications have now been withdrawn.
Government officials said the decision was taken after difficulties were faced in attracting experienced professionals to key government positions. Due to reduced benefits, many experts were unwilling to accept re-employment offers.
The move came after objections from various stakeholders.
The decision will benefit retired government employees, particularly those from the bureaucracy, who can now receive both pension and salary upon re-employment. However, other pension reforms remain in place, including the calculation of pensions based on the average salary of the last two years of servic
