A proposal to increase the salaries of government employees by 7 per cent has been included in the finance minister's budget speech.
Sources divulged on Friday that a proposal has also been put forward for a 7 per cent increase in pensions for retired employees. However, a special meeting of the federal cabinet is expected to approve a 10 per cent increase in salaries for government employees.
The sources said pensions could rise by up to 7.5 per cent. Meanwhile, the final decision on salaries for government employees will be taken by the federal cabinet.
Meanwhile, the government's coalition partners have also proposed a 10 per cent increase in the minimum wage.
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