KATHMANDU, July 17: The government has decided to discontinue the services of contract employees who have already retired from government service and are receiving gratuity or pension benefits.
Issuing a seven-point circular on Friday, the Ministry of Federal Affairs and General Administration directed all ministries, departments and government agencies to retain their existing contract employees in a pool by renewing their contracts until further arrangements are made. The ministry will maintain and regularly update an integrated database of these employees.
National Swimming competition in private swimming pool
Once the Organization and Management (O&M) Survey is approved, government agencies will be required to deploy employees from the pool according to their staffing requirements.
The circular also bars government bodies from recruiting new contract employees for newly created offices or vacant positions. Instead, agencies requiring contract staff must request personnel from the ministry-managed pool, sign fresh contracts with the assigned employees, and deploy them accordingly.
For agencies under different ministries that are undergoing merger or dissolution, the respective ministries have been instructed to determine the minimum workforce needed to safeguard government assets and oversee the transfer and settlement of assets and liabilities until the restructuring process is completed. Existing contract employees working in those agencies will be assigned these responsibilities.
The ministry will conduct a study within one month to recommend measures for managing employees remaining in the pool. The study will also propose minimum service facilities and employment conditions for future contract agreements, as well as compensation and benefits for employees whose contracts cannot be renewed due to the absence of approved positions.
The decision follows a Cabinet meeting on July 16, which endorsed a plan to manage contract employees working in approved positions at ministries and subordinate offices that are expected to be downsized following the O&M survey.