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Budget 2024-25: Government Implements Hiring Freeze for Grade 1 to 16

The Government of Pakistan has announced a freeze on new hirings for Basic Pay Scale (BPS) 1 to 16 positions.

This decision, unveiled by Finance Minister Muhammad Aurangzeb during his budget speech for the fiscal year 2024-25, is expected to save the government approximately Rs. 45 billion annually.

Finance Minister Aurangzeb explained that this hiring freeze is part of a broader initiative to streamline government spending and enhance fiscal efficiency.

“By freezing new hirings in the BPS 1 to 16 categories, we anticipate significant savings that will help reduce our overall expenditure,” he stated. “This is a critical step towards achieving a more balanced budget without compromising essential public services.”

The freeze on these lower to mid-tier government positions is seen as a direct measure to control the growing public sector wage bill. This freeze will impact a wide range of roles across various departments and is intended to limit the expansion of the government workforce, which has been identified as a significant driver of government expenses.

In addition to the hiring freeze, the government is also embarking on a comprehensive ‘rightsizing’ initiative.
This process involves a detailed review and potential restructuring of the entire government workforce to ensure optimal efficiency and eliminate redundancies.

A special committee has been formed to oversee this task, charged with scrutinizing the current government structure and identifying areas where staff reductions or reallocations may be necessary.

“The committee is diligently examining all facets of government staffing to pinpoint opportunities for streamlining and improving efficiency,” Minister Aurangzeb noted. “Their report will soon be presented to the federal government, providing actionable recommendations on how to proceed with the rightsizing initiative.”

This dual approach of freezing hirings and rightsizing reflects the government’s push to fiscal streamline discipline and more efficient public sector management.

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ProPK Staff