BY: M. Ilyas
ISLAMABAD – According to a circular issued by the Cabinet Division, the Government of Pakistan has proposed significant amendments to the Employees’ Act of 1986. This proposal has been submitted for approval to the Prime Minister. The details indicate that the proposed amendment stipulates that only employees aged between 35 and 50 years will be retained during the relocation of institutions. Employees younger than 35 or older than 50 will be retired with a “golden handshake,” receiving a severance package as compensation for their dismissal. This policy aims to retain experienced employees within a specific age range while providing financial support to those who are dismissed. However, it raises concerns regarding age discrimination and the potential impact on employees’ careers and livelihoods. Cabinet Secretary Kamran Ali Afzal stated that this amendment is part of the government’s efforts to improve employee performance and the quality of work. He highlighted that this policy would not only provide opportunities for experienced individuals but also create openings for new employees. This news has garnered significant attention across Pakistan, with public and political circles eagerly awaiting its implications. The government’s move underscores the need to reassess age criteria for employees in various institutions, with the goal of enhancing the country’s overall economic condition. Copies of this proposal have also been forwarded to various courts, parliamentary secretariats, and provincial governments to keep them informed about this important issue. The proposed amendment to the Employees’ Act 1986, which restricts employment to those aged between 35 and 50 while offering a golden handshake to those outside this age range, This policy may foster age discrimination, marginalizing younger employees and those nearing retirement age. It could create a work environment where age becomes a factor in employment decisions, undermining the principle of equal opportunity. Younger employees often bring fresh perspectives, innovative ideas, and technological skills. Dismissing these individuals could result in a loss of potential talent and creativity within the organization. For those who are laid off due to age restrictions, this policy can disrupt careers, leading to financial instability and emotional distress. It may also impact their ability to find new employment in a competitive job market. The policy could negatively affect the morale of employees across all age groups. Younger employees may feel undervalued, while older employees may feel insecure about their future. Relying heavily on a specific age group might create a skills gap in the workforce, as older employees retire and younger ones lack the experience necessary to fill key positions. The amendment could lead to legal challenges based on age discrimination laws, prompting costly litigation and damaging the organization’s reputation. While the golden handshake offers financial compensation, it can create a significant financial burden on the organization, especially if a large number of employees are affected. Limiting employment to a specific age range can hinder workforce diversity, which is essential for fostering creativity and innovation. A diverse workforce brings varied experiences and viewpoints that contribute to problem-solving and decision-making. In summary, while the policy aims to enhance organizational efficiency by retaining experienced employees, its potential disadvantages could outweigh its benefits, leading to negative implications for both employees and the organization as a whole.
Comments are closed.