The federal government has finalized a mandatory “Severance Package” for its employees, according to high-level sources. This package, which will be introduced through amendments to the Civil Servants Act, 1973, applies to all government employees without exceptions or preferential treatment.
The Federal Cabinet had earlier approved an amendment integrating a Compulsory Retirement Package into the law. This policy primarily affects employees whose roles are eliminated due to the abolition of ministries, department closures, or government mergers.
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Under the new rules, civil servants whose positions are abolished will be entitled to the severance package. Affected employees can submit their applications to a committee formed by the Prime Minister within seven days of receiving notice.
The committee is required to reach a decision within 30 days of receiving the application. Interestingly, the federal government has stressed that the severance package is compulsory.
If a civil servant refuses to accept it, their employment will be terminated under the new regulations. This amendment was also reviewed and endorsed by the Cabinet Committee for Disposal of Legislative Cases.
