Dissolution of Pakistan Public Works Dept: Senate panel concerned over non-payment of salaries to employees

ISLAMABAD: The Senate Standing Committee on Housing and Works expressed serious concern over non-payment of salaries to employees absorbed in various ministries, divisions, and government departments following the dissolution of Pakistan Public Works Department (Pak PWD).

The meeting was held under the Chairmanship of Senator Nasir Mehmood to review the implementation status of the Committee’s recommendations regarding the non-payment of salaries to erstwhile (Pak PWD) employees and to examine issues related to Federal Government Employees Housing Authority (FGEHA) projects.

The committee took serious notice of the matter and highlighted that 253 employees have not received their salaries since July 2025, causing severe financial hardship and making it difficult for them to meet their basic needs.

The Secretary Housing Captain Muhammad Mahmood Rai (retd) informed the committee that 89 percent of the absorbed employees are receiving their salaries.

He further stated that the primary issue relates to the requirement of additional budgetary allocations and that the Finance Division has assured the release of funds to the concerned ministries, divisions, and departments. The Finance Division informed the committee that it has not yet received any request for additional budget allocation from the Intelligence Bureau; however, the issue would be resolved promptly upon receipt of the requisite request. The secretary Establishment and the secretary Housing assured the committee that the matter would be resolved at the earliest. The chairman directed the Intelligence Bureau, along with other departments that have not released salaries of absorbed employees, to attend the next meeting and submit a detailed report. The chairman further assured full support to the absorbed employees of Pak PWD.

The committee also received a briefing on the issue of non-vacation of government accommodations by retired government employees. It was informed that following the committee’s intervention, four government accommodations have been vacated, while the remaining are expected to be vacated soon. The chairman ordered stern action and directed the submission of a compliance report in the next meeting.

Additionally, the committee was briefed on the bidding process for the award of contract for the Lifestyle Residency Project. The committee pointed out serious concerns and questioned the accountability of the FGEHA Board’s decisions. The committee expressed concern over delays in project completion and questioned why the project has been lingering for such a prolonged period. The secretary Housing said in majority of FGEHA housing schemes could not be completed because of litigations and financial scams involved in these projects and no bureaucrat has the courage settle these issues.

He said those bureaucrats took bold decisions faced the inquires of NAB and other law enforcement agencies even after their retirement.

“Those bureaucrats linger on the issues instead of solving them get promoted on time and retired honourably and those tried to solve either side-lined or spend their rest of life to get bail from the courts or faced inquiries from the NAB,” he lamented.

The committee also remarked whether it is the responsibility of the government to provide residential facilities to retired government officials.

The committee was informed that FGEHA plans to call Expressions of Interest by the end of March 2026 to finalise the project. The secretary Housing assured the committee that no new projects would be initiated until the completion of ongoing projects.

Copyright Business Recorder, 2026