Pakistan Railways struggles with Rs 21.36 billion pending liabilities for employees: Report

New Delhi, May 18 Pakistan Railways is facing pending employee-related liabilities worth Rs 21.36 billion (Pakistani rupee), with dues of retired and serving staff remaining unpaid despite claims of improved financial performance, a report has said.

According to official documents cited by SAMAA TV, a dispute has emerged between the Ministry of Railways and the Ministry of Finance over the release of funds required to clear the outstanding payments.

The neighbouring country’s Railways Ministry has placed responsibility on the Finance Ministry and has submitted relevant details to the National Assembly, the report said.

It further stated that employees retiring after March 2023 have not yet received their dues.

Moreover, out of the total pending amount, Rs 10 billion is linked to 5,578 gratuity claims filed by retired employees, while Rs 7.52 billion remains unpaid under 4,135 cases covered by the Prime Minister’s Assistance Package.

In addition, Rs 1.18 billion in marriage grants and Rs 1.52 billion under the benevolent fund remain pending.

The Pakistani government has stated that, despite repeated requests, additional funds have not been allocated by the Finance Ministry.

Meanwhile, a summary seeking an extra grant of Rs 8.19 billion has been pending since December 2025.

The matter has also not been taken up by the Economic Coordination Committee over the past five months.

Documents further showed that Pakistan Railways generated Rs 93 billion in revenue during the last financial year, while receiving Rs 64 billion in government grants.

Another report warned that Pakistan’s prolonged focus on “economic stabilisation” without structural reforms risks trapping the country in recurring crises and stagnation.

The report came after Prime Minister Shehbaz Sharif acknowledged that the US-Iran conflict has negatively impacted Pakistan and other regional economies through higher energy prices, geopolitical uncertainty, and disruptions in trade and supply chains.

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