Cabinet approves elimination of 150,000 federal posts 

Government moves to cut pension costs and streamline federal workforce, greenlights financial package for affected employees

The federal cabinet has approved the elimination of around 150,000 vacant posts in the government, along with amendments to the Army Act to provide a financial package for employees impacted by the government’s rightsizing efforts.

The News reported, citing officials from the Cabinet Division, that the cabinet has endorsed the proposal previously greenlit by the prime minister. 

According to the decision, 60 per cent of vacant federal government positions—estimated at approximately 150,000—will be abolished or labelled as “dying posts.”

In a bid to reduce pension liabilities, the cabinet also decided to outsource non-core services, such as cleaning, plumbing, and gardening. This measure is expected to significantly reduce the size of Basic Scale (BS) 1-16 staff in the federal government.

Additionally, all contingency posts in various ministries and divisions are set to be eliminated. The cabinet has also approved amendments to the Civil Servants Act of 1973, which will allow the government to provide financial packages to civil servants affected by the rightsizing initiative.

The Establishment Division proposed these changes to ensure a balanced package that considers both the rights of civil servants and the government’s responsibilities. 

Under the revised Act, civil servants will have the right to submit a representation within seven days to a committee formed by the prime minister. The committee will have 30 days to decide on the representation. If a civil servant rejects the severance package, their services may be terminated.

Monitoring Desk
Monitoring Desk
Our monitoring team diligently searches the vast expanse of the web to carefully handpick and distill top-tier business and economic news stories and articles, presenting them to you in a concise and informative manner.

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