Bitter post-tax expectations
The sense of alienation and resentment among regular working families in Pakistan has deepened due to unjust treatment by employers and the government. Higher tax deductions from already low salaries have exacerbated the situation. In August, they will receive their first salary post-Budget 2024. Their bitterness is not misplaced, as new evidence confirms how the challenging job market and the lack of effective recourse to address grievances discourages workers, adversely affecting their productivity levels. Salaried Pakistanis earn less than their counterparts in other countries but face higher income taxes across all income brackets. Unfortunately, there is no comprehensive horizontal or vertical salary analysis across all professions based on verifiable national data in Pakistan.