Recruitment of CEOs of PSEs: Establishment Division asked to select panel of headhunting firms

ISLAMABAD: The Federal Cabinet has directed the Establishment Division to select a panel of headhunting firms for recruitment of Chief Executive Officers (CEOs) of Public Sector Entities (PSEs) instead of separate engagement of headhunting firms by the Ministries, official sources told Business Recorder.

Presently, over 100 top positions in different PSEs are vacant due to which decision-making in those organisations is almost stalled. Prime Minister, Imran Khan recently expressed his concerns over delay in appointments of CEOs/MDs of these organisations.

On November 17, 2020, the Cabinet Division stated that a summary submitted by Establishment Division seeking approval of the Cabinet was circulated in terms of rule 17(1)(b) of Rules of Business, 1973 among twenty-eight Federal Ministers for recording opinion and subsequent return to the Cabinet Division.

Eighteen Members of the Cabinet endorsed the proposal of the Cabinet Division, replies from eight members were not received within stipulated time, whereas two Ministers the Minister for Human Rights and the Minister for Planning, Development & Special Initiatives raised observations.

The summary was subsequently submitted to the Prime Minister for approval. Keeping the observations of the Members in view, the Prime Minister desired that the case may be placed before the Cabinet, in terms of rule 19(3) of the Rules of Business, 1973.

During the discussion, there was a difference of opinion amongst the members as to whether the option of hiring through open advertisement and headhunting should be mutually exclusive or simultaneous.

Some of the cabinet members argued that there was no need for open advertisement if hiring through headhunting was opted. It was opined that simultaneous exercise of options would give lead to litigations.

Another point of view was that opting exclusively for headhunting would compromise transparency and deny equal opportunity, which in turn could provide grounds for the process to be challenged in courts.

A suggestion was offered that suitable candidates identified through headhunting could be encouraged to apply through open advertisement.

After a detailed discussion, the Cabinet approved that the concerned Ministry/Division, in order to lend transparency, shall, in the first instance, advertise the post, and in case no suitable candidate is found the matter may be placed before Cabinet Committee on Institutional Reforms (CCIR) for allowing, or otherwise, recruitment to the said post through headhunting.

The Cabinet further directed that Establishment Division explores the possibility of selection of a panel of headhunting firms to be used by the Ministries/Divisions, instead of separate engagement of headhunting firm in every single case, to save time and cost. The Cabinet was informed that recruitment, through headhunting, for SPP Scales has already been notified.

Copyright Business Recorder, 2020