• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
Trending:
  • Kashmir
  • Elections
Monday, July 27, 2026

Daily Times

Your right to know

  • HOME
  • Latest
  • Iran-Israel war
  • Pakistan
    • Balochistan
    • Gilgit Baltistan
    • Khyber Pakhtunkhwa
    • Punjab
    • Sindh
  • World
  • Editorials & Opinions
    • Editorials
    • Op-Eds
    • Commentary / Insight
    • Perspectives
    • Cartoons
    • Letters to the Editor
    • Featured
    • Blogs
      • Pakistan
      • World
      • Lifestyle
      • Culture
      • Sports
  • Business
  • Sports
  • FIFA World Cup
  • E-PAPER
    • Lahore
    • Islamabad
    • Karachi

Pension System

Published on: October 5, 2025 11:59 PM

When Justice Mansoor Ali Shah declared that a pension is not a favour but a constitutional right, he exposed one of the state’s most uncomfortable truths: Pakistan guarantees dignity to its servants, but funds it on borrowed time. What began as a safety net has become a fiscal trap, a system that devours resources meant for the future to pay for the past.

The numbers tell the story better than any verdict. This year, the federal government will spend nearly Rs 900 billion on pensions, much, much more than it allocates to development. That figure has been rising by roughly a quarter every year. Across provinces, pension liabilities now rival or exceed salary budgets. In a few short decades, economists warn, these obligations could swallow half of all public expenditure.

At last, Islamabad has recognised the danger. The recently proposed Pension Fund Bill 2024 aims to replace the old pay-as-you-go system with a contributory model in which recruits deposit a share of their salaries, matched by the state, into an independently managed fund. It is a sensible step (long overdue), albeit touching only a fraction of the problem. The millions already retired, and the hundreds of thousands approaching retirement, remain dependent on an unfunded promise. Without parallel reform for existing liabilities, the bill merely slows a runaway train.

This injustice runs deeper than spreadsheets. Teachers, constables, clerks and nurses often wait months for payments, while privileged cadres enjoy early retirements and index-linked increases. In essence, what is most troubling is how this pension crisis speaks volumes about equity and credibility. A state that cannot pay its own retirees on time forfeits moral authority to lecture citizens on fiscal discipline. Still, the beginning of a reform conversation deserves recognition. Sindh and Khyber Pakhtunkhwa have launched their own contributory schemes, and the digitisation of pension records has reduced ghost payments. These are small but necessary corrections. Yet if reform stops here, it will become another exercise in bureaucratic box-ticking, nothing more than a band-aid on a broken artery.

Pension reforms need to be comprehensive, transparent and humane. The government must separate entitlement from privilege, convert rhetoric into funded policy, and bring the military and civilian systems under a single actuarial lens. Justice Shah’s reminder was simple: a pension is part of the right to life, and keeping that promise is the test of whether this republic still honours its word. *

Filed Under: Editorial Tagged With: Justice Mansoor Ali Shah, pension, System

Submit a Comment




Primary Sidebar




Latest News

Aleem Khan promises economic revival ahead of AJK elections

US pauses Iran strikes as conflict spreads beyond Gulf

Pakistan, Qatar step up US-Iran mediation after strike pause

Tarar says suspect arrested over alleged India-linked digital campaign

Dedicated IP addresses gain importance for stronger online privacy

Pakistan

Aleem Khan promises economic revival ahead of AJK elections

Pakistan, Qatar step up US-Iran mediation after strike pause

Tarar says suspect arrested over alleged India-linked digital campaign

PPP urges AJK election body to probe alleged code violations

Swiss Pakistani Saadia Zahidi named first woman to lead IATA

More Posts from this Category

Business

FBR probes major fuel tax evasion after petrol stock goes missing

Govt maintains petrol and diesel prices until July 27

Work on FBR reforms, cashless economy underway, says finmin

Fed secretaries directed to fully operationalise PM Office System

Gold prices edge up by Rs 300 per tola

More Posts from this Category

World

US pauses Iran strikes as conflict spreads beyond Gulf

Pakistan, Qatar step up US-Iran mediation after strike pause

Dedicated IP addresses gain importance for stronger online privacy

More Posts from this Category




Footer

Home
Lead Stories
Latest News
Editor’s Picks

Culture
Life & Style
Featured
Videos

Editorials
OP-EDS
Commentary
Advertise

Cartoons
Letters
Blogs
Privacy Policy

Contact
Company’s Financials
Investor Information
Terms & Conditions

Facebook
Twitter
Instagram
Youtube

© 2026 Daily Times. All rights reserved.

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.