NA introduces austerity measures amid Middle East crisis, MNAs pay cut by 25%

Vehicles grounded, overseas travel suspended and staff switched online as government extends cost-cutting

ISLAMABAD:

On the directions of the Speaker of the National Assembly, Ayaz Sadiq, the NA Secretariat on Wednesday introduced austerity measures in line with the ongoing cost-cutting campaign due to the conflict in the Middle East.

Under the new measures, 70% of public vehicles will remain free, while members of the National Assembly will face a 25% reduction in pay and allowances for the next two months. Foreign travel by parliamentary delegations has been completely suspended.

Senior civil servants, including those in grade 20 or earning a monthly salary of Rs300,000 or more, must contribute two days’ salary to the national treasury.

All non-essential purchases in the Secretariat have been halted, with purchases limited to essential day-to-day needs. The National Assembly and committee meetings must now be scheduled before sunset.

80 percent of the Secretariat’s staff will work virtually from home, and no additional allowance will be provided to home-based staff to enforce austerity. Standing committee meetings will be held online and the National Assembly will operate on a four-day working week.

Read: The government declares Friday a holiday to save energy

The policy also limits committee meetings, reduces electricity consumption by 70% and mandates turning off non-essential lights and electrical equipment. Cafeteria utility bills are expected to see a 70% reduction.

To further cut traditional expenses, the secretariat will adopt paperless working methods. Officials say the measures aim to promote efficiency while ensuring responsible use of public funds.

Prime Minister Shehbaz Sharif on Monday announced a four-day work week and work from home as part of sweeping austerity measures in the face of the fuel crisis caused by the prevailing crisis in the Middle East following attacks by the US and Israel on Iran.

The prime minister said members of the cabinet, including ministers, advisers and special assistants, would not draw pay for two months, while the salaries of MPs would be cut by 25%.

“Expenditures in all government agencies, except for salaries, will be reduced by 20%,” he further said.

Chief Minister Shehbaz said that senior civil servants in grade 20 and above earning more than Rs 300,000. per month, would have two days’ wages deducted, which would be used to provide relief to the public.

The government sharply hiked diesel and petrol prices by Rs55 per litre, or 20%, on Friday – marking the first of a series of similar hikes expected in the coming days due to the ongoing conflict.

The increase in petrol prices was more than the increase in international markets, as the government chose to collect more money than required from motorcyclists and car owners to subsidize the use of diesel, mostly by public transport and the agricultural sector.

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