ISLAMABAD: Pakistan Post is suffering annual losses of approximately Rs12 billion, with the figure potentially reaching Rs18 billion to Rs19 billion when pension liabilities are included, Federal Minister for Communications Abdul Aleem Khan told the Senate on Tuesday.
The minister disclosed that the government was preparing a restructuring policy to reduce the department’s financial burden, with workforce reductions and privatisation among the options under consideration.
Responding to a question raised by Senator Shahadat Awan, Aleem Khan said the government was examining measures to control Pakistan Post’s operating expenses and address its continuing financial losses.
He said a detailed restructuring plan would be presented to the Senate once the government completed its assessment of the available options.
The minister identified employee-related expenditure as a major contributor to the department’s financial difficulties, highlighting the need to reduce operating costs.
However, he did not specify how many positions could be affected by a possible workforce reduction or provide a timeline for any privatisation decision.
Pakistan Post operates more than 9,700 units nationwide
Sharing details of the department’s operations, Aleem Khan said Pakistan Post maintained a network of 9,707 units across the country.
These included 2,887 departmental post offices, 6,735 extra-departmental offices and 85 formations.
The minister said the department currently employed approximately 22,000 people, while the province-wise staffing figures presented to the Senate listed 15,051 employees.
He did not explain the difference between the two staffing figures.
Aleem Khan further informed the House that recruitment and staffing arrangements were governed by provincial quotas, with employment shares distributed among provinces according to prescribed criteria.
The minister maintained that staff expenditure accounted for a substantial portion of Pakistan Post’s costs, making financial restructuring necessary.
The government has yet to announce a final decision on privatisation or workforce reductions, with both measures remaining under consideration as part of the proposed restructuring policy.