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Nepal Government moves to cap civil service at 30 years or age 55

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KATHMANDU: The government is preparing to finalize the Federal Civil Service Bill with a provision requiring civil servants to retire after 30 years of service or at the age of 55, whichever comes first.

The Ministry of Federal Affairs and General Administration has sent the latest draft, incorporating the proposed 30-year service and 55-year age limits, to the Finance Ministry for its comments. Once approved, the draft will be submitted to the Cabinet before being forwarded to Parliament.

If enacted, the provision could lead to the retirement of thousands of existing civil servants. The government is considering several implementation options, including applying the provision as a one-time measure to facilitate the exit of long-serving employees and create space for new recruitment.

Officials say the draft also proposes limiting pension calculations to 30 years of service, even for employees who have served longer.

The government argues that the reform would help bring younger personnel into the civil service and respond to changing administrative needs. Critics, however, warn that mass retirement could result in the loss of experienced manpower, institutional knowledge and administrative stability.

The Federal Civil Service Bill has faced prolonged delays amid disagreements over several provisions. The latest draft is now expected to move forward after the Finance Ministry provides its opinion.