Government plans to scrap basic pay scale system, Details inside

ISLAMABAD: The federal government is gearing up for major reforms in the public sector, with significant changes on the horizon for non-gazetted employees and federal medical facilities.

The proposed reforms include a phased removal of Basic Pay Scales (BPS) for non-gazetted employees, replacing them with contract-based hiring. This shift is expected to yield annual savings of Rs. 35-40 billion across federal bodies.

Federal medical facilities, such as the Pakistan Institute of Medical Sciences (PIMS) and Polyclinic, are poised to become semi-commercial entities under public-private partnerships (PPP).

This strategic move aims to boost medical tourism, potentially generating Rs. 80-100 billion in revenue for Islamabad’s health facilities alone within five years.

PPP models have proven effective in improving healthcare services, increasing efficiency, and reducing costs.

By collaborating with private sector experts, federal medical facilities can tap into specialized knowledge and resources, enhancing patient care and overall healthcare outcomes.

The Ministry of Finance has already introduced contributory pensions for new civil and military hires, aiming to reduce the pension bill, which currently exceeds Rs. 1 trillion.

By adopting contract-based hiring, the government expects to reduce its financial burden and allocate resources more efficiently.