Govt likely to lay off more than 30,000 employees before June 2020

'IMF has asked finance ministry to lay off thousands of employees and privatise important institutions in order to plug financial imbalances and meet fiscal deficit'

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ISLAMABAD: The government has been mulling to lay off more than 30,000 employees of some 20 state institutions before June 2020, apparently to plug financial imbalances and meet the fiscal deficit of the country, Pakistan Today has learnt.

However, the Ministry of Finance, while confirming the privatisation of at least 10 institutions in the near future, refused to give any number on the termination of employees.

According to sources privy to the matter, the Tehreek-e-Insaf (PTI) government has been considering the termination of over 30,000 employees besides privatisation of some 20 important institutes before the announcement of next financial year’s budget.

They said that the International Monetary Fund (IMF) officials had moved this proposal, convincing the finance ministry to lay off thousands of employees and privatise important institutes in order to address financial imbalances and meet the fiscal deficit.

“A body constituted by the Ministry of Finance has been working and preparing the list of government employees who will be terminated as per commitment with the IMF,” sources added.

They said the finance ministry and the Privatisation Commission would ensure the bidding process for the privatisation of state-owned entities while the list of terminated employees shall be completed by the end of 2019 or start of 2020.

“The terminations will be announced after the proposed privatisation of the state-owned enterprises.”

Sources further informed that the government has already dissolved Pakistan Medical and Dental Council (PMDC) through a presidential ordinance and is set to transfer the consolidated funds to the federal kitty. “With such moves, the government will be able to cushion the federal account, helping it pay back loans to the IMF and World Bank on time,” they added.

Sharing more details, sources said around 4,000 employees of Pakistan International Airlines (PIA), 3,000 employees of Oil and Gas Development Company Limited (OGDCL), 3,000 employees of Pakistan Steel Mills, 4,000 of Pakistan Television (PTV), 3,000 of Radio Pakistan, 4,000 of Sui Northern Gas Pipeline Limited (SNGPL), 3,000 of Sui Southern Gas Company (SSGC), 10,000 of WAPDA, 300 of Pakistan Electronic Media Regulatory Authority (PEMRA), 6,700 of PIMS/Polyclinic/NIRM Hospital/FGH Chak Shehzad, and 150 employees of National Institute of Health (NIH) would be laid off prior to June 2020.

Meanwhile, they added, all staff members of the Utility Stores Corporation (USC), Pakistan Medical & Dental Council (PMDC), Associated Press of Pakistan (APP) and Civil Aviation Authority (CAA) would be shown the door in case the government takes the decision to privatise these institutions.

Upon contact, a finance ministry spokesman termed the above-stated information as “untrue”. He, however, said the privatisation process of 10 state-owned enterprises would be completed soon, while the layoffs would be made later.

Responding to a question about the number of employees to be removed from the jobs after privatisation, he said, “I have no idea and no one is talking about any layoffs as of now.”

9 COMMENTS

  1. Govt firstly helped out private sector to expand their business as well as creation of jobs then should layoff Govt employee’s

  2. The government should not take dictation from the IMF because they are the main enemy of Pakistan. They want to sabotage our country and enforce a condition of civil war where a country would become anything like Sudan and Somalia. So guys say no to government decisions.

  3. Please don’t call them employees. They are ghost employees that are not found anywhere in the company premises where they supposedly work, only in papers to get monthly salary. For example, Pak Steel mills that have a designed capacity of maximum 12,000 employees has over 30,000 staff at present (due to political appointments since 2009) and the best thing in this is the mill is shut off since many years with no production. All those employees who were reinstated in 2009-10 (after a gap of 10+ years) were working elsewhere already but continued to get pay cheques at their homes every month from Pak Steel.

    PIA, SSGC, WAPDA and all other giants get destroyed with these political appointments that ensured that the genuine employees who were working honestly also stopped working when they saw people getting salaries without even coming to work!

    • People keep insisting the government do business and interfere in the free market via price controls. So is it any wonder that it doesn’t turn out well? When they try to privatize these companies then people start moaning about loss of tax payer’s wealth and what not.

      The govt. is now seeking greater amounts in tax revenue which will be used to expand the scope of public sector activity. The public sector is incredibly inefficient and wasteful and a larger public sector will drag down economic growth even further. Therefore tax evasion in Pakistan is a patriotic act. We must starve these goons of funds!

  4. The workers are more powerful than the nuclear armed government so they can’t be laid off. Also if there’s a need to lay them off why does the IMF have to tell us to do it? Why can’t we get our own house in order without outside parties telling us to do so?

  5. In last 10 to 15 Years so many ghost employees were inducted on political basis without knowing are they capable to hold to post or not.
    So , therefore, keeping in view of such approach of Last 15 Years political parties , such persons are not deserved right to call them Employees, they are all ghost employees and taking every benefits including monthly salary without doing any things and are not found anywhere in the company premises where they supposedly work, only in papers.

    Moreover, I would like to freely share with you that , how it possible, one person holding the key post of in Government as well as working in private Institutions and getting the salary from both ends in same time.

    How their presence/attendance is being show off in government department /offices/ Govt.Own entities, evenif, He/She full time in home/house or doing the private Jobs.

    Therefore, keeping in view such facts, I request to Competent Authority of PTI, also dig out such facts and give the jobs to right one person. If the right persons are being placed at right place, than our Pakistan definitely will Grow, Insha Allah (Ameen).

    I also wana add to check every employee status via NADRA System along with their physical presence via bio matric / retina system/face reading system /or any other technology base system as to cut down the unnecessary expenses of government.

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