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A Bureaucrat Never Retires

A tense tug-of-war is unfolding between Nepal’s new government and its “Permanent Government”—the bureaucracy that has outlasted successive administrations, political upheavals, and repeated attempts at reform

By PD Dr. Pushpa R. Joshi | August 2026

Immediately after the fall of the autocratic Rana regime in Nepal, the Public Service Commission (PSC) was established in June 1951 as an independent constitutional body under the Interim Constitution of Nepal. PSC was established to ensure fair, merit-based recruitment for government service. Since then, the PSC has served as the primary institution responsible for most civil service recruitment in Nepal. Over the last seven and a half decades, Nepal has witnessed several governments as well as regime changes. Amid this persistent political instability, Nepal’s bureaucracy has, however, remained largely stable.

Following the reinstatement of multi-party democracy in 1990, the government, led by Prime Minister (PM) Girija Prasad Koirala, dismissed a large number of civil servants through forced retirement in 1991. However, this brazen retrenchment, which the government justified as downsizing the bureaucratic sector, was overturned by the Supreme Court (SC), which ruled that the democratically elected government had violated the fundamental rights of the victimized civil servants. This landmark Supreme Court verdict reinforced the position of civil servants within Nepal’s bureaucracy, and since then the administrative apparatus has been labelled the ‘permanent government.’

The government formed after the monarchy’s abolition in 2008 also sought to assert greater control over the bureaucratic and security sectors. The former rebel leader and Maoist Prime Minister, Pushpa Kamal Dahal, attempted to alter the status of senior civil servants and sought to dismiss the Chief of Army Staff (CoAS). This detrimental move by PM Dahal backfired, and he was forced to resign after only nine months in office. Since then, Nepal’s bureaucracy has remained one of the country’s most resilient institutions.

Recently, the political landscape has changed in Nepal, especially in light of the violent Gen-Z movement that claimed several lives and devastated government and public property worth trillions. The traditional political parties were sidelined by the voters through the federal elections held earlier this year in March. On the other hand, the newly formed political party, Rastriya Swatantra Party (RSP), claimed one seat short of a two-thirds majority in Parliament. Following this landslide electoral victory, RSP’s leader and former mayor of Kathmandu Metropolitan City, Balendra Shah, assumed the office of Prime Minister.

Among other commitments, PM Shah has firmly pledged to reform Nepal’s existing bureaucracy. The government’s approach shows that Nepal’s bureaucracy, which had proved more durable than any government that came and went, survived multiple political upheavals and witnessed several constitutional overhauls through sheer institutional permanence, is now on the brink of major restructuring. This is further triggered by mounting public anger over inefficiency, corruption, and an entrenched culture of patronage that has long insulated civil servants from accountability.

So far, the government has effectively dismissed 1,594 political and administrative appointees across 150 state bodies, boards, and universities. Initiated by PM Balendra Shah, the mass termination was carried out under a sweeping temporary decree known as the Special Arrangement Ordinance on the Dismissal of Public Office Bearers. In addition, the government is reportedly drafting a Federal Civil Service Bill that proposes a one-time mandatory retirement for civil servants aged 55 or older or with 30 years of service. Additionally, the government has proposed measures to remove around 60,000 contract, temporary, and daily-wage employees across all three tiers of government to restructure administration and cut costs.


Nepal’s bureaucratic apparatus had been shielded for generations largely by political patronage, job security, and behind-the-scenes influence. Moreover, the Supreme Court has, on several occasions, safeguarded the tenure of civil service employees. Hence, overhauling the bureaucracy will be a defining test of Nepal’s new government, and a critical measure of whether the country’s broader democratic renewal can take root. Due to past adversities, the government has not yet developed a clear framework to reduce the size of the bureaucracy, and the aforementioned Federal Civil Service Bill remains on hold. Ironically, many of the current government’s political appointments, made to replace appointees of previous governments, have been controversial due to a lack of transparency in the appointment process. Numerous appointments have raised concerns regarding the erosion of merit-based selection and the prevalence of nepotism.

Time will tell whether the Government of Nepal will finally be able to reform a resilient bureaucracy built to outlast every attempt at change

The inefficiency and inertia of the bureaucracy—often regarded as a permanent institution—have been identified as key factors contributing to the underperformance of successive governments. With existing provisions, it is almost impossible to dismiss a permanently recruited civil servant who has fulfilled the selection criteria of the PSC. Previous governments had attempted to do so multiple times, but without noticeable success. Hence, it will be a daunting task for the present government to overhaul the bureaucratic sector. Moreover, recent developments suggest that even if the government succeeds in dismissing a significant number of civil servants, the subsequent recruitment process may be influenced by political favouritism. In this regard, the General Secretary of the ruling party, the RSP, recently stated publicly that priority would be given to RSP supporters and well-wishers in future recruitment.

The government formed in the wake of the Gen-Z movement has recently completed its honeymoon period. Although it may be premature to assess the performance of a government with a five-year mandate, the initial indications have not been encouraging. The government appears to be relying on the overwhelming electoral support it received from voters; however, people from various sectors are increasingly coming together to protest what they perceive as the government’s authoritarian actions.

Civil servants were initially apprehensive about the new government; however, over time, many have come to realise that although the government has changed, its approach and practices remain similar to those of previous governments. In addition, many appear to have realised that even if the government attempts to send a large section of civil servants into forced retirement, the previous Supreme Court verdict would safeguard them and force the government to retract. A tense tug-of-war is currently unfolding between the government and the bureaucracy. Time will tell whether the Government of Nepal will finally be able to reform a resilient bureaucracy built to outlast every attempt at change.

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