The Assam government has initiated the implementation of a Cabinet decision to extend the service tenure of eligible contractual employees up to 60 years of age. The move, approved by the state Cabinet on February 26, 2026, targets staff who have completed 10 or more years of continuous service and are aged 45 or above as of January 1, 2026.
This decision marks a significant step towards addressing long-standing demands for enhanced job security and improved service conditions for a substantial segment of the state’s contractual workforce. Key departments, including Panchayat and Rural Development (P&RD), have received directives to identify and process the cases of eligible employees, bringing their service tenure in line with that of permanent government staff.
What was announced
The Assam Cabinet, in its meeting held on February 26, 2026, gave its approval for the service extension of eligible contractual employees. Following this crucial Cabinet decision, the state government has commenced the follow-up process to put the new policy into effect.
Official communication has been dispatched from Dispur to various departments, including the Commissioner of Panchayat and Rural Development (P&RD), the Director of the Golap Borbora State Institute of Panchayat and Rural Development (GBSIPRD), and the Mission Director of the Assam State Rural Livelihoods Mission (ASRLMS). These authorities have been specifically instructed to identify contractual employees within their respective jurisdictions who meet the stipulated eligibility criteria for the service extension.
Under the terms of the Cabinet decision, a contractual employee must fulfill two primary conditions to qualify for the extension: they must have rendered continuous service of 10 years or more within their department, and they must have attained the age of 45 years or above as of January 1, 2026. Employees who satisfy both these criteria will be permitted to continue in service until they reach the age of 60 years. All other contractual employees who do not meet these specific conditions will continue under their existing service terms without any alterations.
Why it matters
The Assam government’s decision is poised to significantly impact thousands of contractual employees across various state departments, offering them much-needed job security and stability. For years, contractual workers have operated under precarious employment conditions, often without the benefits and long-term assurance enjoyed by their permanent counterparts.
The extension of service up to 60 years aligns the retirement age of eligible contractual staff with that of regular government employees in Assam, which stands at 60 years. This move is expected to alleviate financial anxieties and provide a sense of dignity and recognition for their prolonged contributions to public service.
Contractual employees in departments like Panchayat and Rural Development, who number over 8,000, have been at the forefront of demanding job security and an extension of their service period. This policy change directly addresses a key demand articulated during numerous protests and agitations.
Beyond individual benefits, the retention of experienced contractual staff up to a higher age can help government departments maintain institutional knowledge and continuity in project implementation, particularly in crucial grassroots development initiatives overseen by the P&RD department. The overall number of contract workers in Assam was reported at 74,835 in 2023 by the Labour Bureau, indicating the broad scope of contractual employment in the state.
Background
The issue of contractual employment and demands for regularisation or improved service conditions has been a persistent concern for successive governments in Assam. Various employee associations have consistently agitated for better terms, highlighting the disparity between contractual and permanent staff.
In November 2025, more than 8,000 contractual employees of the Panchayat and Rural Development (P&RD) Department launched a statewide strike. Their demands included job security until 60 years of age, a one-time increase in wages by Rs 30,000, a minimum 10 per cent permanent annual increment, and the formulation of a comprehensive Human Resources (HR) policy. Protesters emphasized the challenges of working for years without stability or welfare benefits.
Following these widespread agitations, the state government had constituted a committee on November 13, 2025, chaired by the Commissioner, P&RD, to examine the demands of the contractual staff. The committee was tasked with submitting its recommendations within 30 days.
Prior to this, the Assam government had undertaken measures to address the concerns of other contractual employee groups. In June 2020, the contracts of 46,150 contractual teachers across the state were extended to 60 years of age, with assurances of benefits at par with government rules. Chief Minister Himanta Biswa Sarma had stated that this move aimed to bridge the gap between contractual and government teachers.
Furthermore, in September 2024, the state government regularised the jobs of nearly 24,000 contractual teachers working in primary schools through a special recruitment drive. Chief Minister Sarma presented permanent appointment letters to 23,959 contractual and state pool teachers, marking a significant step towards empowering the teaching fraternity.
Contractual health workers under the National Health Mission (NHM) also staged an indefinite protest in Guwahati in September 2025, demanding job regularisation, equal pay, and other benefits. They reminded the government of a 2019 cabinet assurance and the formation of a departmental committee to address their issues, alleging a lack of concrete action since then.
The All Assam Employees’ Council, in its central executive meeting in Tinsukia in March 2025, had also recommended increasing the retirement age of state government employees to 62 years, alongside other proposals aimed at resolving employee grievances and strengthening the organization.
Key details
The service extension policy, stemming from the Cabinet decision on February 26, 2026, outlines clear criteria for eligibility. Contractual employees must meet two conditions to qualify for the extension:
- They must have rendered continuous service of 10 years or more in their respective department.
- They must have attained the age of 45 years or above as of January 1, 2026.
Eligible employees will be allowed to continue in service until they reach 60 years of age. Contractual staff not meeting these specific requirements will continue to be governed by their existing service terms.
The initial directives for identifying eligible personnel have been issued to the Commissioner of Panchayat and Rural Development (P&RD), the Director of the Golap Borbora State Institute of Panchayat and Rural Development (GBSIPRD), and the Mission Director of the Assam State Rural Livelihoods Mission (ASRLMS). These departments are now tasked with the crucial process of identifying and compiling lists of employees who qualify for the extended service period.
Reactions
The Assam government’s decision to extend the service period for eligible contractual employees has been met with a sense of relief and cautious optimism among the affected workforce. The move directly addresses a core demand that has fueled numerous protests by various contractual employee associations across the state.
“We have been contributing tirelessly to rural development, yet our efforts are not recognised adequately,” a protester from the Panchayat and Rural Development (P&RD) contractual employees’ association said during a statewide strike in November 2025. “Job security up to 60 years of age has been a long-standing demand, and this decision is a positive step.”
The All Assam Panchayat and Rural Development Contractual Employees Association, which had staged extensive agitations demanding job security until 60 years of age, views this as a partial victory for their persistent efforts. While the decision provides tenure security, other demands such as significant wage hikes, annual increments, and a comprehensive HR policy continue to be points of focus for employee groups.
What’s next
Following the Cabinet’s approval and the issuance of official directives, the immediate next step involves the identification of eligible contractual employees by the specified departments. The Panchayat and Rural Development (P&RD) Commissioner, the Director of the Golap Borbora State Institute of Panchayat and Rural Development (GBSIPRD), and the Mission Director of the Assam State Rural Livelihoods Mission (ASRLMS) are expected to expedite this process.
Once identified, the necessary administrative procedures will be initiated to formally extend the service of these employees up to 60 years of age. The government is anticipated to monitor the implementation closely to ensure that the benefits reach the intended beneficiaries in a timely manner. Further directives may be issued to other departments as the implementation progresses across the state.
Quick FAQs
Who is eligible for the service extension?
Contractual employees who have completed 10 or more years of continuous service in their department and are aged 45 years or above as of January 1, 2026 are eligible.
What is the new extended service age?
Eligible contractual employees will now be allowed to continue in service up to 60 years of age.
Which departments are primarily affected by the initial directives?
The initial directives have been issued to the Panchayat and Rural Development (P&RD) Commissioner, the Director of the Golap Borbora State Institute of Panchayat and Rural Development (GBSIPRD), and the Mission Director of the Assam State Rural Livelihoods Mission (ASRLMS).
What happens to contractual employees not meeting the criteria?
Contractual employees who do not meet the specified eligibility conditions will continue under their existing service terms without any change.