ISLAMABAD: The government of Pakistan has announced additional austerity and energy-saving measures across federal institutions.
According to an official notification from the Cabinet Division, the Prime Minister Shebaz Sharif has directed the implementation of new steps following the recommendations of a committee overseeing energy conservation and cost-cutting initiatives.
As part of the measures, senior officials in federal and semi-government institutions including CEOs, executive directors, directors, and senior administrators will face a two-month salary reduction. The funds collected from this deduction will be deposited into the Prime Minister’s Austerity Fund, aimed at supporting the implementation of efficiency policies and the optimal use of national resources.
The notification emphasized that the cuts will be applied according to specific pay grades and will include all legal, autonomous, and state-owned institutions. Authorities will monitor compliance to ensure effective implementation and promote careful use of energy and public funds nationwide.
The government described these steps as part of a broader strategy to reduce administrative expenditures and strengthen resource management amid current economic challenges.
Govt issues notification for weekly holidays
Earlier, Prime Minister Shehbaz Sharif, the federal government launched a series of “revolutionary” austerity and economic stability measures, headlined by the official implementation of a four-day workweek.
According to a Cabinet Division notification, government offices will now operate from Monday to Thursday, with Friday, Saturday, and Sunday designated as weekly holidays.
To further reduce the fiscal burden, a voluntary two-day salary cut has been directed for all officers in Grade 20 and above, or those earning over Rs 300,000; however, health and education sector employees are exempt from this reduction. Addressing the global economic climate, the Prime Minister has established a special committee led by Deputy Prime Minister Ishaq Dar to monitor these measures daily. To ensure complete transparency, all austerity initiatives will undergo a third-party audit.
Additionally, ministries have been ordered to cease the use of non-essential vehicles and provide photographic evidence to the Cabinet Division. Prime Minister Sharif emphasised that these steps are vital for maintaining economic stability amidst global challenges, and all ministries have been tasked with submitting detailed reports on improving the effectiveness of work-from-home protocols.
