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KATHMANDU, June 30: In a move that has sparked controversy, the House of Representatives (HoR) has passed the Federal Civil Service Bill, effectively removing the mandatory cooling-off period for senior government officials by misleading the lawmakers.
The now-abolished two-year cooling-off period was originally designed to curb the practice of securing high-level political appointments at the end of bureaucratic careers. But powerful lobbying from top bureaucrats, led by Chief Secretary Ek Narayan Aryal, appears to have succeeded in getting the provision removed.
When the State Affairs Committee resisted the move, bureaucrats even threatened to halt work. The committee ultimately forwarded the bill to Parliament with the cooling-off clause intact, only for it to be quietly altered—allegedly without the full knowledge of the Minister for Federal Affairs and General Administration.
Bill bars local units from recruiting civil servants
Clause 82 (5) of the bill renders the cooling-off period largely meaningless. While sub-clause 4 had barred secretaries and joint secretaries from holding other posts for two years post-retirement, sub-clause 5 introduces broad exceptions. Point (a) of this sub-clause allows for appointments to constitutional and diplomatic positions, as well as “other appointments made by the Government of Nepal,” thereby opening the door to lucrative roles for recently retired officials.
The bill—first tabled in Parliament on March 4, 2024—was sent to the State Affairs and Good Governance Committee after a general discussion. The committee submitted its report to the House on June 15, and the bill was passed unchanged on Sunday. While it retains provisions such as the right to form trade unions, the bill’s changes to the cooling-off period stand out.
Under the original bill, civil servants retiring from the federal civil service would have been barred from holding constitutional positions for two years. The revised language nullifies this, contradicting what many lawmakers believed they were voting for.
The revised clause also allows retired officials to work with international and intergovernmental organizations, such as the UN, World Bank, and ADB. However, it bars them from taking roles in projects run by domestic agencies not affiliated with such bodies.
Even the Chair of the State Affairs Committee, Ramhari Khatiwada, expressed confusion and concern. “We were confident the cooling-off period remained intact when the bill passed Parliament. But now, it seems someone inserted the word ‘except’—misleading lawmakers,” Khatiwada said.
With the bill now heading to the National Assembly, amendments are technically possible. However, given the strong influence wielded by bureaucrats throughout the process, significant changes appear unlikely, according to insiders.
