Govt to cut over 30,000 positions in rightsizing drive to reduce costs
The government has decided to cut more than 30,000 positions across various departments as part of its rightsizing initiative aimed at improving efficiency and cutting costs.
During a briefing to the Senate Standing Committee on Finance and Revenue on Wednesday, the Cabinet Division secretary revealed that 30,968 government posts are being abolished, while another 7,724 have been classified as “dying posts” – a term for roles that will be phased out over time without new hires.
The majority of posts being eliminated fall in the lower grades, with 7,305 from Scale-I. In contrast, only two senior-level posts from Grades 21-22 will be cut. Additionally, 36 posts from Grade-20 and 99 from Grade-19 are set to be scrapped.
The secretary said the decision follows instructions from the prime minister, who directed the reduction of the federal government’s size to focus on essential responsibilities. The broader plan also involves transferring non-core functions to provincial governments and reviewing commercial activities run by federal departments to determine their relevance and efficiency.
He clarified that regulatory authorities will not be affected directly but are being asked to provide detailed data on their staff, consultants, and salary structures. The impact on autonomous bodies is still under review.
Senator Sherry Rehman raised concerns about the reform strategy, questioning the decision to expand the federal cabinet while cutting posts elsewhere. She also warned that the policy could lead to forced early retirements, creating hardship for employees.
Responding to these concerns, the Cabinet Division secretary said the move was necessary and had already led to significant cost savings by eliminating redundant roles. He argued that appointing new ministers was part of the government’s broader plan to enhance ministerial performance and reform institutions.
The committee also discussed “The Income Tax (Amendment) Bill, 2025”, introduced by Senator Zeeshan Khanzada. Debate focused on whether the proposed changes should classify it as a money bill.
Senator Rehman argued that it did not directly interfere with taxation, and the committee decided to call the FBR chairman to clarify legal aspects before proceeding.
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