The Standing Committee of the National Assembly on Cabinet Secretariat has approved “The Civil Servants (Amendment) Bill, 2025” and directed the Establishment Division to ensure minimal layoffs during the government’s restructuring and rightsizing exercise, according to a news report.
The bill was passed without amendments, with the committee calling for surplus employees to be reassigned to other departments, rather than laid off. The committee also instructed that a severance package be worked out for civil servants who might be affected by the restructuring.
The meeting, chaired by MNA Malik Ibrar Ahmad, took place at the Parliament House on Thursday. The committee was informed that the government’s rightsizing initiative targets financially inefficient departments for potential shutdowns or mergers, with an emphasis on offering voluntary golden handshake packages for employees in non-essential roles.
The committee was also told that many departments have excess staff, with some officers managing as many as six subordinates, a practice now being limited to two. The government also revealed that there are over 115,000 vacant positions, and most displaced employees (90%) are expected to be absorbed into other government roles.
Committee members raised concerns, with MNA Aslam Ghuman urging restrictions on discretionary powers and criticizing the deputation of junior staff to roles such as food inspectors, which he linked to corruption. MNA Shahida Begum questioned the ongoing restructuring process, particularly the lack of resolution regarding cases like the PTCL privatization, and demanded clarification on how many employees would be impacted.
MNA Agha Rafiullah criticized the proposed closures of Utility Stores and Pakistan Steel Mills, asserting that the government should focus on job creation rather than job elimination. MNA Tahira Aurangzeb warned that mass layoffs, especially among lower-grade employees, could lead to increased crime rates.
In response, the Cabinet Secretary emphasized the government’s goal of reducing bureaucracy and restructuring loss-making public sector companies. He confirmed the merger of SAFRON and the Gilgit-Baltistan divisions, with surplus staff to be reassigned to other ministries. He also clarified that while the government cannot offer new jobs, it aims to facilitate employment through the private sector. However, officials were unable to provide a final number regarding the golden handshake offers.
The committee also approved “The National School of Public Policy (Amendment) Bill 2025” and “The Asaan Karobar Bill 2025” without amendments. Additionally, the committee commended the Board of Investment (BoI) for consolidating all relevant laws and regulations in one place to facilitate the business community.