Nearly 2 thousand young engineers to be hired on PSDP projects ACEP, PEC proposal gets ECNEC nod, salaries to be raised from contingency amount

The Executive Committee of the National Economic Council (ECNEC) has approved a proposal under which a sum of two thousand young engineers would be hired for two years on Public Sector Development Program (PSDP) projects in the country.
The proposal titled ‘Employment of Young Engineers on Projects as Trainee/Internee Engineers against Contingencies of Southern Development Package’ was moved by Chairman Association of Consulting Engineers Pakistan (ACEP) Engr. Waseem Asghar.
Engr. Asghar says in communication a graduate engineer will get a monthly salary of Rs.40,000 and a Diploma of Associate Engineers (DAE) holder Rs.30,000.
The concept paper moved with the ECNEC says Pakistan is the Fifth most populous country in the world with a population of approximately 220 million people. Given the current rate of population growth, it is estimated that the national population will reach 262 million by 2030. At present, approximately 68 percent of the population is below the age of 30. The youth unemployment rate is quite high compared to the average unemployment rate. The highest overall unemployment rate is prevalent among the age group of 20-24 years. Similarly, regarding the gender-based difference in unemployment, the stats show a higher rate among females than males. Pakistan is experiencing the phenomenon of unemployed educated people, particularly jobless graduates. Unfortunately, the unemployment rate among degree-holders is higher than the other overall unemployed people. The reason given for this is a mismatch between the education being imparted and the need of the economy to sufficiently absorb fresh graduates. Enrolment in Pakistan’s specialized technical, vocational education, and training sector is low, which persists despite the high demand for skill training among both genders. The skill gap has a significant impact on youth employment. The federal government envisages Special Development Plan for Southern Balochistan as the most underdeveloped area of the province. A considerable number of Projects with huge investment plans through Federal PSDP 2021-22 are underway in its implementation. The Youth of Balochistan particularly in Southern areas have little exposure and opportunities to national streams. A large number of young engineers, males and females are having no resources to utilize their technical skills and be a part of this mega-development process. To utilize the maximum potential of talented youth engineers PEC has devised a plan for their meaningful engagement in government-financed infrastructure projects. This would not only employ educated youth but would also help them to learn tricks of the trade for future deployment on regular basis. The government in return would get trained manpower at the least cost. The plan is to induct young engineers fresh or up to a maximum of three years of experience on government-financed projects at a stipend of Rs.40,000 per month for a maximum period of two years as internees or trainee engineers. Government support is required to make it a mandatory requirement for all PSDP (Southern Development Package) financed projects to induct engineers. The minimum numbers which should be employed in each project by clients, contractors, and consultants are proposed in the proposal.
As per the current year PSDP 2021-22, 199 infrastructure projects costing Rs. 654 billion are being financed for Balochistan. These projects are being financed under Southern Development Package, each costing over Rs. One billion are being implemented for the current financial year 2021-22. Expenditure on these projects is likely to be about Rs. 95 billion. As per the development manual of the Planning Commission 3-5 percent, depending upon the nature of the project, is earmarked to meet contingencies expenditure. If an average 2 percent contingency is considered, an estimated contingency amount of Rs.654 billion comes to Rs. 13.08 billion. If 0.25 percent of the project cost is reserved for creating youth engineers’ employment, a total of Rs.1.6350 billion would be available. However, if only a 0.15 percent contingency amount is earmarked for young engineers then an amount of Rs.981.00 million will be available for the employment of about 2000 engineers in the procedure. With this meager amount over 2000 engineers can be given employment for two years. The amount required to employ one engineer will be Rs 480,000 per annum (Rs 40,000 per month) or Rs 960,000 for two years.
The document points out that at present about 500 engineers in various disciplines graduate every year of the province. The proposed program will provide an opportunity for them to have hands-on experience and subsequently get absorbed in various fields.
The data shows that under each category, the impact on project cost is just 0.15 percent. With this meager amount, about 2000 engineers will be appointed as Trainee\Contract engineers for two years.
The authors of the proposal have proposed steering committees for the federal government and provincial governments for overseeing the implementation to ensure smooth, swift, and transparent implementation.
The federal committee will comprise 6 members and Deputy Chairman Planning Commission will be the chairman of the committee. The members include the Chairman of PEC, Engineer in Chief, representative of the relevant ministry/secretary (Not below than Additional Secretary), President of ACEP, and President of CAP.
The provincial committees will be headed by the Additional Chief Secretaries (ACS) Development. The members include the Vice Chairman, PEC (concerned province), C.C Engineer, representative of ACEP, Representative of CAD, Department Head Secretary of the relevant department, and Project Director of the relevant department.n