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Ban on new posts, consultants' review on Finance Ministry's cost-cutting instructions

A ban has been imposed on creation of new posts in all ministries, departments, their attached and subordinate offices, and autonomous bodies without the approval of Department of Expenditure

twitter-logoBusinessToday.In | September 4, 2020 | Updated 23:39 IST
Ban on new posts, consultants' review on Finance Ministry's cost-cutting instructions

Department of Expenditure under the Finance Ministry has asked all central government bodies to avoid creating new posts, and curb expenses on celebrations and printing in a bid to cut costs. The department has also asked all union ministries and departments to review consultants associated with them and exercise prudence while determining their fees.

"In the context of the present fiscal situation and the consequent pressure on government resources, there is a need for further economy and rationalisation of non-priority expenditure, while protecting and preserving priority expenditure," the Department of Expenditure said in an office memorandum on Friday.

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A ban has been imposed on creation of new posts in all ministries, departments, their attached and subordinate offices, and autonomous bodies without the approval of Department of Expenditure. The posts which have already been created will remain vacant. If it is necessary to fill then, proposals for the same have to be sent to the Department of Expenditure.

To reduce administrative expenditure, the Department of Expenditure has asked all ministries, departments, their attached and subordinate offices, and autonomous bodies to avoid printing or publishing books, publications, documents, etc on imported paper. Only Indian missions abroad have been exempted from this guideline.

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Government offices have also been asked to discourage or appropriately curtail expenditure on functions such as celebrations of Foundation Day, etc. Travel for such functions and provision of bags and mementoes for such occasions should be avoided in any case, the Department of Expenditure said.

All central ministries and departments have also been asked to carry out a review of the individual consultants working with them and reduce their number to the minimum requirement. "Due economy may be observed while determining the fees of consultants and care may be taken that such fees are not disproportionate to the quality and quantity of work to be carried out by them," Department of Expenditure added.

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