Kathmandu: The government is preparing sweeping changes to the retirement age, service period and tenure of top civil servants.

A new Federal Civil Service Bill is already registered in Parliament. Since it may take time to pass, the government plans to bring some changes sooner through an ordinance amending several Nepal laws. The ordinance would change parts of the Civil Service Act, 2049 and allow many employees to retire early.

The bill would replace the current class based system with a 14 level structure. It would raise the mandatory retirement age from 58 to 60. As a one time transition measure, employees who have completed 55 years of age or 30 years of service on the day the new law takes effect would retire. Everyone else, including new recruits, would retire at 60.

According to a source, both houses of Parliament end their monsoon session at midnight tonight (Asoj 16). The government then plans to recommend the ordinance to the President.

The ordinance would amend Section 33 of the Civil Service Act so that employees with 55 years of age or 30 years of service retire automatically. It would also amend Section 17 to fix terms for top officials: three years for secretaries and two years for the chief secretary. If issued, secretaries who have already served three years and employees who meet the age or service limit would leave their posts immediately.

The bill sets the same terms for the chief secretary (Level 14) and secretaries (Level 13). Whichever comes first, the end of the term or the retirement age, would decide when an official must retire.

To protect the pensions and benefits of existing employees, the government says it will consult the Ministry of Law, the Ministry of Finance and the Public Service Commission. Benefits would be calculated based on their age and years of service. Sources say the Finance Ministry has also prepared for the extra financial burden of retiring many employees at once.

Some employees say they are not unhappy about early retirement. The idea has been discussed for a long time and many near retirement are mentally prepared. Some have already resigned, expecting the change.

However, employees warn of a “vacuum” in administration if many experienced staff leave together. They say this could hurt decision making, continuity and public services unless the transition is handled carefully.

The plan could bring in a new generation of civil servants. But it also raises questions about whether replacements are ready for senior roles such as secretaries and joint secretaries, who have long policy experience. Employees say a clear plan for passing on knowledge and developing leaders is needed.

Experts note that the government speaks of choosing people on merit, but past appointments have drawn criticism. They fear that if loyalty to politicians outweighs ability, less qualified people could fill key posts while capable officers are sidelined. The real picture will become clear only after the law, service groups, promotion system and implementation process are known.

If the ordinance is issued before Parliament passes the bill, the civil service will see sudden, large changes. Managing retirements, pension costs, vacant posts, new recruitment and the tenure of senior officials all at once will be a major challenge for the government.