ISLAMABAD: The Power Planning and Monitoring Company (PPMC), an arm of Power Division has reportedly failed to adjust employees of Generation Companies (GENCOs) in power Distribution Companies (Discos), sources told Business Recorder.
Power Division, in a letter addressed to Managing Director PPMC, Abid Lodhi, has conveyed that GENCOs are in the process of winding up and all their old and defunct power plants have been disposed of, whereas dismantling of certain units has already been initiated.
According to Power Division, to decide about the GENCO’s employees and to consider different options as directed by the Prime Minister, a meeting was held in the office of the Federal Minister of Economic Affairs & Establishment, participated by the Secretary Power Division, Additional Secretary Power Division, CEO GHCL and representatives of Task Force on Implementing Structure Reforms in Power Sector.
Fresh hiring directed: PM says ‘no’ to adjusting Gencos’ staff in Discos
It was decided that GENCO’s employees will be absorbed/adjusted in DISCOs. The decision, duly approved by the Prime Minister, was conveyed by the Ministry of Economic Affairs & Establishment in a communication on April 30, 2025.
Data of all GENCO employees was shared by GHCL with PPMC for the adjustment of GENCO’s employees in DISCOs according to their options. Subsequently, 1127 employees were relieved on 10.06.2025, and 1775 employees were relieved on June13, 2025.
Power Division claimed that it has been reported that MEPCO, LESCO, PESCO, and HAZECO have not issued adjustment orders so far, whereas other DISCOs have either adjusted some of GENCO’s employees to much lower positions or returned to GENCO’s being un-adjusted. This is contrary to the decision made at the highest level for the adjustment of all GENCO employees in DISCOs and defeats the approved scheme of adjustment/absorption.
Power Division has conveyed the following to PPMC: (i) DISCOs have to adjust all GENCOs’ employees according to their options;(ii) all employees should be adjusted in equal pay scales according to their qualifications;(iii) in case positions in DISCOs for certain categories of GENCO employees are not available or due to some procedural encumbrances and Service Rules differences, such employees can be adjusted against the already available posts.
The DISCO should create a special pool for their employees in whatever Basic Pay Scale they are in. However, DISCOs can utilize their services according to their skill set and experience; (iv) GENCOs have relieved their employees on June 10, 2025 and June 13, 2025, but due to non-adjustment, these employees are unable to receive their monthly salaries.
Power Division has directed that DISCOs must resolve the adjustment at the earliest and ensure that employees reported for work are paid their salaries regularly. The PPMC has been directed to convey to all DISCOs to implement the same as soon as possible.
In December 2024, Prime Minister had reportedly directed that employees of Generation Companies Distribution Companies not be adjusting and the latter must go for fresh hiring.
These decisions were taken at a recent meeting presided over by the Prime Minister, wherein performance of three DISCOs, namely the Faisalabad Electric Supply Company (FESCO), Lahore Electric Supply Company (LESCO), and Peshawar Electric Supply Company (PESCO) came under discussion. “Those absorbed shall be immediately repatriated.
The employees of GENCOs must be parked in surplus pool and may be given handshake/voluntary retirements. DISCOs shall make fresh equipment against their Human Resource requirements,” the sources quoted Prime Minister as saying.
Copyright Business Recorder, 2025
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