The Finance Division has issued a notification mandating the elimination of all contingency posts across federal ministries and divisions, as part of a government drive to reduce administrative expenditures.
This directive follows a federal cabinet decision taken on August 27, 2024, aimed at streamlining the workforce and optimizing government resources.
As per the notification, all ministries, divisions, and their subordinate offices must comply with the cabinet’s decision to abolish contingency posts.
An earlier directive, issued on June 12, 2024, had already restricted recruitment in grades BS-1 to BS-16, with exceptions only for the Armed Forces, Civil Armed Forces, and other security-related agencies. Recruitment for these posts now requires prior approval from the Austerity Committee constituted by the Finance Division.
Finance Minister Mohammad Aurangzeb previously announced the federal cabinet’s plan, approved in September, to dissolve one ministry, merge two others, and eliminate 150,000 vacant positions as part of an extensive rightsizing initiative.
This rightsizing decision, approved by the federal cabinet, includes the dissolution of the Capital Administration and Development Division (CADD) and a 60 percent reduction in vacant government positions to reduce operational costs significantly.
The Finance Division’s latest memorandum, issued through its Expenditure Wing, has been circulated to all relevant federal entities, including the President’s Office, Prime Minister’s Office, Auditor General of Pakistan, and other key government departments. These offices have been directed to ensure compliance with the cabinet’s cost-cutting mandate to streamline operations and reduce fiscal pressures.
