The federal government has enacted significant pension reforms by altering the calculation method and limiting multiple pension entitlements.

Under the new rules, pensions will now be calculated based on the average salary over the last 24 months, rather than the final salary. Additionally, employees will no longer qualify for multiple pensions. However, those opting for voluntary retirement will be excluded from the new formula.

Furthermore, salary increases in the final year of service will not be factored into pension calculations.

The notification also specified that days worked during the last month of employment will be counted as a full month for pension purposes. Family pensions will now be based on net pension values instead of gross amounts.

The government anticipates that these reforms will enhance pension disbursement and ensure financial sustainability. Nonetheless, public sector employees are expected to oppose the changes due to potential impacts on their post-retirement benefits.