Modern Administrative system in Ethiopia is believed to have been established on the turn of the first decade of the 20^th century during the time of Emperor Minilk II. The Emperor is known to have appointed nine Ministers. The time marked the beginning of Modern Administration of the European style in Ethiopia. The establishment of the modern administration had not been accompanied by personnel rules and regulations as such. The absence of personnel rules and regulations led the administration of government offices to be based on the goodwill of each government official of the time. This situation prevailed for about half a century. When the situation necessitated the establishment of an organ of a government that could define the right and obligation of government personnel and also a homogeneous administrative order; the "Central Personnel Agency" (CPA) was established pursuant to order No. 23 of 1961 and started functioning as of June 1963. Public Service Order No.23 of 1961 as amended by Legal Notice No.28 of 1962, which created the Central Personnel Agency. The Central Personnel Agency was established to give central leadership under uniform rules and directives to all public servants in Ethiopia.

During the military regime its name was changed to Public Service Commission (P.S.C.) with a new organizational structure. After the downfall of the military regime and the establishment of the Provisional Government, proclamation no 41/93 which redefined duties and responsibilities of the commission was issued. Later on, with the establishment of the F.D.R.E, the Federal Civil Service Commission (F.C.S.C.) was reestablished by proclamation No. 8 of 1995.

Later on as decided by House of People Representatives on October 1,1998 E.C - proclamation no 471/98 the Commission was renamed to Federal Civil Service Agency(F.C.S.A)

The Federal Civil Service Agency as an organ of the Federal Government Administration is responsible in all matters related to Organizational Structure, salary increment, position classification, salary scale and exclusive right to issue regulations to Federal Civil Service Institutions ,after approval by the council of ministers.

At Regional State level the Bureaus of Public Administration have similar powers in theirs state and have more or less the same legal base adopted to their specific conditions.