The civil servants could also be prosecuted and if found guilty of fraud could face up to seven years in jail
The President was reacting to a report by a task force listing 10,000 government employees with dubious secondary school qualifications.
That’s just over 2% of the country’s civil servants.
The civil servants could also be prosecuted and if found guilty of fraud could face up to seven years in jail.
The investigation only looked into secondary school qualifications of officials in local government, public institutions and government agencies and has not examined university degree certificates.
According to reports, the education minister said that some had been using their relatives' school certificates, while others did not appear on official records at all.
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President Magufuli has given those on the list until 15 May to resign or face legal action.
"They are thieves like any other thieves... you cannot perform if you don't have deserving qualifications," he said.