Disparity Reduction Allowance (DRA)
On 03 March 2021, Finance Division, Pakistan, issued a notification under the subject of Grant of Disparity Reduction Allowance. The statement shows the approval of the Federal government for the DRA grant. However, the employees will receive Disparity Reduction Allowance @ 25% of the basic pay scale 2017.
DRA Allowance will be admissible for the federal government employees in BPS 01-19 who have never allowed additional allowances. Thus, below are some conditions regarding the Disparity Reduction Allowance.
- The Annexure-I organization employees and those who have received additional allowances are not applicable for the DRA.
- This allowance will be subject to income tax.
- DRA will be admissible during leave and LPR except for ordinary leaves.
- DRA will be acceptable during the suspension period.
- The term basic pay will also have the personal pay amount granted on account of annual increment.
However, the Finance Division will resolve the issues arising in the implementation of Disparity Reduction allowances. Thus, below is the image of the complete notification of DRA allowance.


