ALTHOUGH the Finance Division has revised upward the Indicative Budget Ceilings (IBC) for the Higher Education Commission (HEC) to Rs. 65 billion from an initial allocation of Rs. 25 billion for the fiscal year 2024-25, most of the universities, centres, and institutes under its control have not been allocated or released sufficient budgets and funds for the fiscal year.
Over time, annual budget allocations and grants for universities in general and its recognized centres and institutes in particular have been decreasing. Since 2018, Centres of Excellence have become increasingly dependent on bailout packages, grants-in-aid and supplementary grants to address their financial pendency, but their requests have largely been ignored.
No doubt, public sector universities, centres and institutes have been facing a financial emergency due to budget cuts over the past six years. The reduced funding from HEC has failed to keep up with the increased costs associated with house rent ceilings, pay and pension hikes and other allowances. Currently, many universities, centers and institutes are in a severe financial crisis, unable to pay staff house rent ceilings, salaries and pensions. One such institution is the National Institute of Historical and Cultural Research (NIHCR), Centre of Excellence, Quaid-i-Azam University, Islamabad, which has been grappling with a financial crunch since fiscal year 2019-20.
Due to this financial crunch, the staff and pensioners have not been paid their house rent ceilings since July 2021, with the excuse that HEC has not released the required funds to the NIHCR. The situation is particularly harsh for the NIHCR pensioners, who have not been paid their house rent ceilings, gratuity or leave encashment since July 2021. According to my sources in NIHCR, at least five pensioners are still awaiting payment of their pending dues.
Ironically, the NIHCR has also failed to grant the 15 percent Adhoc Relief announced in the Budget 2024-25 to its pensioners, again due to the non-release of funds by HEC. The institute has also not been able to implement the Special Dispensation for Civil Servants in the Federal Government for employees in BPS-01 to BPS-16, effective from January 1, 2023, due to a lack of funds.
Furthermore, NIHCR has not paid the 35 percent and 25 percent Adhoc Relief announced in the Budget 2023-24 to its staff and officers, respectively. Similarly, the 25 percent and 15 percent Adhoc Relief announced in the Budget 2024-25 for its staff and officers have not been disbursed and medical allowances and reimbursements have also been withheld due to the financial shortfall.
Despite this enormous financial pendency, rumours are circulating within NIHCR that some senior officials have been granted house-building, motor car and motorcycle advances, while the pending house rent ceilings of lower staff and payments to retired staff remain unresolved. It is imperative for HEC to address the financial issues at NIHCR promptly by allocating the necessary funds to clear the backlog once and for all.
—The writer is a freelance journalists, based in Lahore.
