WAPDA Introduces Contributory Pension Fund Scheme for New Employees–Notification

Mandatory Pension Contributions for WAPDA Employees Appointed After July 1, 2024:

The Pakistan Water and Power Development Authority (WAPDA) has introduced a Contributory Pension Fund Scheme for employees appointed on a regular basis on or after July 1, 2024. This initiative, approved through the office order FO(B&F)/37-9/VOL-104/2541-60 dated October 3, 2024, marks a significant shift in WAPDA’s pension policy, aligning with modern financial sustainability practices. The scheme aims to ensure financial security for new employees while maintaining a structured and transparent mechanism for pension contributions.

Under this scheme, employees will contribute 10% of their basic pay toward their pension fund, while their respective WAPDA departments will contribute an additional 20% of the employee’s basic pay. This dual-contribution structure is designed to create a financially sustainable pension system that secures employees’ post-retirement benefits while alleviating long-term financial burdens on the organization. By implementing this fund, WAPDA seeks to enhance financial planning for its workforce and promote a culture of responsibility and stability in retirement benefits.

To ensure the seamless execution of this scheme, all relevant departments are required to remit the mandatory pension contributions on a monthly basis. These contributions must be transferred to the designated account under the title “DY. GM FINANCE WAPDA” at JS Bank, Upper Mall Branch, Lahore. Additionally, complete employee data must be submitted in the prescribed format along with the payment, including any applicable arrears. This initiative reflects WAPDA’s commitment to providing a well-structured retirement plan that guarantees financial security to its employees while maintaining fiscal discipline. The Contributory Pension Fund Scheme is a progressive step toward strengthening the financial management of pension benefits, ensuring long-term sustainability for both employees and the organization. Notification Describes;

PAKISTAN WATER & POWER DEVELOPMENT AUTHORITY

O/O Deputy General Manager (Finance) Funds
WAPDA, 1^st Floor, Queen Plaza, 13 Durrand Road
Opposite Queen Marry College Lahore

No. Dy.GMF (Funds)/Pension/New Entrants/ 6421-26

Dated:- 29-01-25

OFFICE MEMORANDUM.

Subject :-       CONTRIBUTORY PENSION FUND SECHEME FOR THE NEW ENTRANTS

Ref:-                     GMF (Co-Ord) Office Order # FO(B&F)/37-9/VOL-104/2541-60, dated :- 03-10-2024.

                            Kindly refer to above referred office order vide which approval of Authority was conveyed for Contributory Pension Fund Scheme for WAPDA Employees appointed on regular basis in WAPDA on or after 1″ July, 2024 as follow .-

1. Contribution @ 10% basic pay of WAPDA Employee.
2. Contribution @ 20% of the Basic pay of the WAPDA employees by the concerned serving Department of the WAPDA employees.

                       It is therefore requested that Mandatory Pension Contribution according to above approved mechanism may kindly be remitted on monthly basis against all relevant employees appointed on regular basis on or after 1^st July, 2024, alongwith employees data on prescribed proforma (attached), with arrears, as per following bank account details :-

Title of Account :-                          DY. GM FINANCE WAPDA

Account # (IBAN) :-                        PK 34 JSBL 9009000002675812

Name of Bank :-                             JS Bank Upper Mall Branch Lahore.

Dy. Manager (Accounts & Finance) Admn.

Conclusion:

The implementation of the Contributory Pension Fund Scheme marks a critical milestone in WAPDA’s ongoing efforts to modernize its pension framework. By adopting a contributory approach, the organization is fostering financial sustainability while safeguarding the future of its employees. This structured pension mechanism ensures that employees who join WAPDA on or after July 1, 2024, will have a dedicated retirement fund that grows through combined contributions from both the employees and their respective departments.

To maintain transparency and efficiency, it is imperative that all concerned departments strictly adhere to the approved pension contribution mechanism. Timely remittance of monthly contributions, along with accurate employee data, will play a pivotal role in the smooth operation of this scheme. Departments must also ensure that any arrears are settled promptly to avoid discrepancies in fund allocations.

By enforcing this policy, WAPDA is taking a responsible approach to long-term financial management, ensuring that its employees receive well-structured pension benefits. The transition to a contributory pension system aligns WAPDA with modern financial practices adopted by leading organizations worldwide, reflecting a commitment to both employee welfare and institutional financial stability. All departments are urged to comply with the outlined procedures and contribute to the successful implementation of the scheme. The cooperation of all stakeholders will be essential in upholding WAPDA’s vision of providing secure retirement benefits while maintaining fiscal discipline. This initiative underscores WAPDA’s dedication to fostering financial responsibility and enhancing the welfare of its workforce, securing a stable and sustainable future for all employees.

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