Federal govt rightsizing: 82 govt entities being reduced to 40 after merger

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ISLAMABAD: The federal cabinet, in its meeting chaired by Prime Minister Shehbaz Sharif here, approved recommendations submitted by the Committee on Restructuring and Rightsizing for the merger and dissolution of 82 government departments and State-Owned Enterprises (SOEs).

The cabinet, while giving assent to the recommendations, also constituted a committee to protect the interests of employees who would be affected by the merger and dissolution of various departments. These 82 entities are being transformed into 40 robust institutions through digitization, smart management, efficient governance, transparency and swift implementation to provide better facilities to the common man, a statement issued by the PM Media Wing said.

The cabinet was informed that in the first phase, enforcement of the committee’s recommendations has already been started in six ministries to help improve government performance, correct use of human capital and policymaking and end unnecessary delays in the implementation of decisions. It also approved recommendations of the Ministry of Housing and Works on the transfer of staff and ongoing development works under PSDP to other ministries and provinces, following the dissolution of Pak PWD.

In the light of recommendations of the Ministry of Housing and Works, the development work, necessary maintenance staff and pending inquiries would be handed over to relevant ministries and provincial governments.

The cabinet was briefed that $130 million was saved by stopping the import of urea and providing uninterrupted gas supply to urea factories.

The cabinet was also given a detailed briefing on the implementation of austerity measures started during the previous Shehbaz Sharif tenure. The cabinet approved the continuation of austerity measures, including voluntary waiver of salary by cabinet members, ban on the purchase of government vehicles other than essential vehicles such as ambulances, ban on the purchase of new equipment and machinery, creation of new government posts, unnecessary travel abroad at government expense and ban on medical treatment abroad.

The prime minister said that the government was implementing institutional reforms for the best governance. “To bring the country’s system at par with international requirements and modern need, the government is introducing digitization and smart management in departments and ministries,” the prime minister said.

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