President Muizzu Says SOE Layoffs Will Be Based on Performance, Not Fixed Targets

20 Apr, 2026
1 min read

President Dr. Mohammed Muizzu said today that state‑owned enterprises will dismiss employees based on performance assessments and that the government has not set a fixed number of staff to be removed.

At a press conference at the President’s Office, a journalist asked him about reports of 500 planned dismissals and the government spokesperson’s earlier denial. The question also referred to the figure of 33 percent, which some had interpreted as a target for staff cuts.

President Muizzu said the government is working to reduce the size of companies that are fully owned by the state, but the process will be guided by performance rather than a predetermined quota.

He said reductions will consider each employee’s level of service and commitment to their work. “A certain number of 500, or 200, or 1,000 is not the target,” he said.

President Muizzu said the 33 percent figure is not an exact requirement. Each company will decide based on its staffing levels and the nature of the work carried out.

“For example, FENAKA has a lot of employees when we came to power. I think it will certainly achieve 33 percent very easily,” he said.

He said the government’s aim is to ensure that state‑owned enterprises operate efficiently and that public resources are used responsibly.

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