Government employees' pay hike will raise the costs of living and doing business, different professionals in the private sector said in reaction to the government's new pay scale.
CPD Executive Director Professor Mustafizur Rahman said, "Along with the new pay scale, the government should finalise the draft Public Service Act for good governance and quality service to the people."
He said since announcement of the 7th pay scale in 2009, price inflation rose by 50 per cent and in the mean time national income marked a 43 per cent rise, so the new pay scale is an incentive of national development to the public servants.
The top official of the Centre for Policy Dialogue also said for getting better service from the civil servants it is rational of increasing salaries.
FBCCI's immediate past president Kazi Akram Uddin Ahmed said there would be a price impact in the market and people will feel the brunt of commodity price hike in the coming Eid-ul Azha.
He said, "I was a member in the new pay scale preparation committee and the draft pay scale was amended later and I do not see much more change."
The former apex chamber leader said the hike in the cost of doing business would be a temporary problem.
He hoped that the stakeholders would show their positive attitude in paying their staffs.
Abdus Salam Murshedy, President, Exporters Association of Bangladesh, said public servants' new pay scale will increase the cost of doing business.
He said, "The neighboring India has devalued their currency and in the same time our government has increased prices of power and gas."
So, like India there is an uneven competition with many other countries as Bangladesh does not have any tool to be competitive, he added.
Murshedy also a former BGMEA President, said the 8th pay scale would lay impact in the garment factory wages and it would be tough for the exporters to do business as the exporters are already in pressure in maintaining compliances as per EU- led Accord and the US-led Alliance.
The former BGMEA president said due to fall of oil prices in the international market and in the recent increase in power and other utilities in the domestic market it is difficult to do business, so the new price inflation caused by the new pay scale would create pressure on exports.
Kamran T Rahman, a former president of the Bangladesh Employers Federation, said the new pay scale would create pressure in the private sector employment.
He said all the private stakeholders may not be capable to match with the new pressure.
He said still today many firms could not match with the changing pressure caused by the 7th pay scale of 2009, so the new scale will widen the gap among the private sector people.
Amullaya Chandra Mandal, Head of the Mathematics Department at Dhaka University, said, "It is irony of fate that my students who are in the policy making do not want to pay more their teachers."
He said, "The new pay scale will raise living costs and it is difficult for me to match with the market prices."