PESHAWAR – Sigh of relief for low-income workers as the Khyber Pakhtunkhwa government proposed increase in minimum monthly wage from Rs36,000 to Rs40,000 in Budget 2025–26.
The announcement was made by KP Finance Minister Aftab Alam while presenting Rs2,119 billion budget in provincial assembly today on Friday. The salary hike is part of the government’s broader strategy to tackle rising inflation and improve the standard of living for laborers and daily wage earners.
“This increase reflects our commitment to workers’ welfare and economic justice,” Aftab Alam said. “Our goal is to ensure that every citizen, especially those in the lower income brackets, can live with dignity.”
The revised minimum wage will apply across province and is expected to benefit thousands of workers employed in both public and private sectors. Labor rights groups and workers’ unions have long demanded a revision in the wage structure to keep up with the increasing cost of living.
KP Salary Update
CM Gandapur led KP government announced 10 percent increase in salaries of government employees and a 7% increase in pensions for retirees.
The provincial budget, which projects Rs1,962 billion in expenditures and a surplus of Rs157 billion, also allocates Rs547 billion for the Annual Development Program (ADP), with health and education continuing as key priority sectors.
Finance Minister emphasized that the budget was designed with a strong focus on public welfare and inclusive growth.
However, the budget session saw sharp criticism from the opposition, who accused the ruling PTI government of excluding opposition lawmakers from development funding.
Despite political friction, the increase in the minimum wage has been widely welcomed by workers and labor organizations across the province.
Khyber Pakhtunkhwa unveils Rs2,119 billion budget for 2025-26
