HomeUncategorizedPunjab writes new chapter in employee welfare as govt ends contractual system; over 65,000 employees to be regularised

Punjab writes new chapter in employee welfare as govt ends contractual system; over 65,000 employees to be regularised

Punjab News Daily Chandigarh, May 30 The Punjab Cabinet led by CM Bhagwant Singh Mann on Saturday delivered one of
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Punjab News Daily

Chandigarh, May 30

The Punjab Cabinet led by CM Bhagwant Singh Mann on Saturday delivered one of the most far-reaching pro-employee decisions in Punjab’s history, approving a roadmap to dismantle the decades-old contractual employment system and pave the way for the regularisation of more than 65,000 workers across government departments. By ending the role of private contractors in government employment and creating a direct employer-employee relationship between the state and workers, the Bhagwant Mann Government has moved to provide job security, dignity and a clear pathway to permanent service for thousands of employees who have spent years serving Punjab without regular status. 

The Cabinet also approved two new ordinances to implement the transition, reconstituted a ministerial panel to address pending Dearness Allowance (DA) and pension-related dues, and cleared the establishment of seven exclusive special courts for the speedy trial of corruption cases.

Sharing details of the decision, the Chief Minister’s Office stated that it has approved the repeal of the Punjab Adhoc, Contractual, Daily Wage, Temporary, Work Charged and Outsourced Employees’ Welfare Act, 2016, and cleared the Punjab State Outsourced Personnel (Transition to Contractual Engagement) Bill, 2026 and the Punjab Contractual Personnel (Absorption Against Sanctioned Vacancies) Bill, 2026. The move paves the way for bringing outsourced employees directly under the government and creating a clear pathway towards regular employment.

CM Bhagwant Singh Mann stated, “More than 65,000 contract workers of Punjab have given the best years of their lives in the service of the state. With this decision, Punjab has returned to them what is rightfully theirs. No contractor will now stand between these employees and the state.”

Explaining the reform, CM Bhagwant Singh Mann said, “These employees will now have direct employment, full dignity and a clear pathway to permanence. Workers presently engaged through private contractors in Punjab government departments and entities will be taken directly into the state’s own employment, eliminating the middleman contractor system.”

The Chief Minister stated that under the Punjab State Outsourced Personnel (Transition to Contractual Engagement) Bill, 2026, outsourced Group C and Group D employees who have completed five years of continuous service will be brought directly under government contractual employment. Employees working in hazardous categories will become eligible after completing three years of service.

In another important decision, the Cabinet granted ex-post facto approval for the reconstitution of a Cabinet Sub-Committee comprising Finance Minister Harpal Singh Cheema, Cabinet Minister Aman Arora and Cabinet Minister Dr Baljit Kaur to examine issues related to pending arrears of revised pay, pensions, leave encashment and Dearness Allowance.

The committee will consider payment of arrears arising from revised pay and pension benefits between January 1, 2016 and June 30, 2021, besides examining pending DA and Dearness Relief dues from July 1, 2021 to March 31, 2024. The committee will also study issues related to Dearness Allowance and Dearness Relief for various categories of employees and pensioners.

To ensure faster disposal of corruption cases under the Prevention of Corruption Act, 1988, the Cabinet approved the establishment of seven Exclusive Special Courts across Punjab.

Three courts will be established in SAS Nagar, while one court each will be set up in Jalandhar, Ludhiana, Amritsar and Patiala. The Cabinet also approved the creation of seven posts of Additional District and Sessions Judges along with 63 supporting staff positions for the functioning of these courts.

The Cabinet also approved amendments to Rules 7, 10, 12 and Appendix ‘B’ of the Punjab Superior Judicial Service Rules, 2007.

The proposed amendments are aimed at providing promotion-related benefits to serving superior judicial officers in Punjab and are expected to strengthen career progression opportunities within the state’s judicial services.

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