Shimla – The Employees’ Service Conditions Act, 2024 has come into effect in Himachal Pradesh, bringing a major change in the recruitment system across government departments. Under the new Act, recruitment on a contract basis has been banned with immediate effect. The Personnel Department issued a letter on Saturday directing all departments to halt such appointments until further instructions.

The move is being seen as part of the state’s preparation to introduce a regularisation system only after five years of provisional service, similar to the model adopted in Gujarat. The Personnel Department has issued specific instructions to Administrative Secretaries, Heads of Departments, Deputy Commissioners, Chairpersons and Secretaries of Boards and Corporations, the Public Service Commission, and the Secretary of the State Selection Commission.

The Act was passed in the Assembly and has been enforced from February 20, 2025. However, certain provisions have been given retrospective effect from December 12, 2003. These provisions now make regularisation the only path forward, eliminating the option of contract appointments.

Officials revealed that some departments, including the Education Department, had earlier appointed school lecturers selected through the Public Service Commission on a contract basis without consulting the Personnel and Law Departments. With the new Act in place, such appointments now face scrutiny, and all ongoing and upcoming selection processes are being reviewed to align with the revised legal framework.

Additionally, the government had issued separate instructions on April 8, 2025, regarding the regularisation of contract employees. Contractual employees who have completed two years of continuous service by March 31, 2025, were deemed eligible for regularisation. However, it has now been clarified that all regularisations must comply with the Employees’ Service Conditions Act, 2024. Departments have been asked to ensure that the provisions of the new Act are explicitly included in the regularisation orders. In cases where regularisation orders have already been issued, an addendum must be made immediately to bring them in line with the Act.

Officials said the sweeping changes are expected to impact several past and ongoing appointments, and all departments have been asked to await fresh government guidelines before proceeding with any new recruitment.