FM plans to cut waste, scrap jobs
FM plans to cut waste, scrap jobs
The Finance Ministry wants to scrap 120 Central sector schemes in the Plan—a move that may end hundreds of jobs.

New Delhi: The 11th Five Year Plan may give hundreds of people a shock. The Union Finance Ministry is reportedly planning to scrap as many as 120 Central sector schemes in the Plan—a move that may result in hundreds of people losing their jobs.

"The Finance Ministry does not want to continue 120 Centrally-sponsored schemes that cost the exchequer something like Rs 2,179.83 crore, which is currently operational in the 10th Plan. The FM is planning to disallow their spillover into the 11th Plan," highly-placed government sources told PTI.

To stop these schemes from spilling over into the 11th Plan, the Finance Ministry has proposed a budgetary allocation of Rs 50 crore for the Department of Expenditure, which would be used in relocation of the manpower and meeting the establishment expenditure till the schemes are wound up, sources said.

The move is aimed at ensuring that no funds are made available for schemes scheduled to close down at the end of the 10th Plan, sources said.

"The Finance Minister has already instructed the ministries concerned that the surplus manpower should either be absorbed elsewhere or adjusted as per the existing guidelines," they said.

According to the existing guidelines on relocation of manpower, the employees who would be rendered surplus following the closure of the schemes would be put in the Surplus Cell of the government for a year and the ministries would be asked to accord preference to them while ascertaining their manpower needs.

"Even after a year if they remained unemployed, then they could be forcibly retired," sources said.

The ministry’s proposal is part of an agenda to end wasteful expenditure.

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