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Law Minister Azam Nazeer Tarar has announced plans to retire government employees of dissolved institutions who are within the final five years of their service.
According to a report by Pak Observer, during a Senate session, Senator Aon Abbas raised concerns about merging departments, particularly regarding the future of the Utility Stores Corporation and its employees.
In response, Tarar stressed the importance of “right-sizing” and stated, “Running businesses is not the government’s job. The government’s role is to create a conducive environment for its employees and the public.”
The minister cited increasing circular debt and fiscal deficits as major challenges, emphasizing the need to address inefficiencies to stabilize the economy. He revealed that the Civil Aviation Authority has already been integrated into the Ministry of Defense.
Tarar assured that affected government employees would receive severance packages, stating, “These employees are Pakistanis. While the state comes first, our goal is not to leave anyone unemployed.”
He added that employees willing to continue working would be offered new contracts by contractors managing the merged entities, with all actions adhering to legal procedures.
On January 10, the federal government began preparing budget estimates for the next fiscal year, issuing key directives to streamline public sector institutions. These include identifying redundant positions and banning the creation of new ones across all ministries, divisions, and departments.