New Health Allowance Rules Issued for Medical Staff in Pakistan. The federal government has issued new health allowance rules for medical and healthcare staff working in federal government departments. These rules clearly define who is eligible for the allowance and who is excluded, aiming to ensure fair payments only to staff directly involved in patient care.
The decision follows a recent Supreme Court ruling and has been formally communicated to all concerned departments through an official memorandum.
What Is the Health Allowance?
The health allowance is a financial benefit given to healthcare professionals who provide direct medical services to patients. It is designed to support frontline medical workers who are exposed to health risks and heavy workloads while delivering treatment and care.
Under the new rules, the allowance will only be paid to staff who are actively involved in patient reception, treatment, and care.
Who Is Eligible for the Health Allowance?
According to the office memorandum issued by the Ministry of Finance, eligibility is strictly limited to federal employees providing direct, practical healthcare services.
Eligible categories include:
- Doctors (medical and dental)
- Allied medical specialists
- Pharmacists
- Nurses
- Paramedics
- Supporting staff directly involved in patient care
These professionals must be actively engaged in treating patients or handling medical issues to qualify.
Who Is Not Eligible?
Employees not directly involved in patient care will not receive the health allowance.
This includes:
- Administrative staff
- Clerical employees
- Support roles without patient interaction
- Any staff not engaged in treatment or medical care
The government has made it clear that job titles alone will not determine eligibility. Actual duties and involvement in patient care will be assessed.
Supreme Court Ruling Behind the Decision
The new policy is based on a landmark judgment by the Supreme Court of Pakistan dated July 4, 2024 (Case No. C.A. 302/2024 to 315/2024, Federation of Pakistan vs. Ehsan Ullah, etc.).
The court defined direct healthcare services as:
- Receiving patients
- Providing medical treatment
- Delivering nursing or clinical care
- Addressing medical problems related to patient health
Only staff performing these functions qualify for the allowance.
Approval and Implementation
The circular states that, with the approval of the Prime Minister of Pakistan, the health allowance will now be implemented strictly in line with the Supreme Court’s decision across all federal government health departments.
All accounts offices have been instructed to:
- Complete the verification and payment process within 15 days
- Submit a compliance report after implementation
Tax and Leave Rules
The memorandum also clarifies how the allowance will be treated financially:
- The health allowance is subject to income tax
- It will be paid during:
- Regular leave
- Leave preparatory to retirement (LPR)
- It will not be paid during:
- Extraordinary leave
In addition, the allowance:
- Will not count toward pension
- Will not be included in gratuity calculations
- Will not affect house rent deductions
Why These Rules Matter
These new rules bring clarity and consistency to health allowance payments. By linking eligibility to actual patient care, the government aims to:
- Protect public funds
- Reward frontline healthcare workers fairly
- End confusion and disputes over allowance claims
For doctors, nurses, paramedics, and other medical staff, this policy confirms that only hands-on healthcare service will qualify for the benefit.
Conclusion
The federal government’s updated health allowance policy clearly defines eligibility based on direct involvement in patient care, following a Supreme Court ruling. While frontline medical staff will continue to receive support, non-clinical employees are now excluded. With strict timelines and compliance requirements, the new rules are expected to bring transparency and uniformity across federal healthcare institutions.
