This study investigates head teachers' perspectives of the school dropout problem at public secondary schools in rural Punjab, Pakistan. The study is based on qualitative methods and included interviews to collect primary data. Sixteen districts of the Punjab where secondary school dropout rate is above 20% were purposively selected for the study. The findings indicate that—other than some socioeconomic and individual factors—different exam patterns at primary, elementary, and secondary levels; easy promotion policy in early classes; English medium syllabus; substandard educational background of students; high failure rate in class 9; and top-down pressures on teachers to perform nonacademic duties are major causes of children dropping out from school. The findings of the study suggest that only through implementation of a socio-culturally compatible syllabus—a corresponding examination system for all levels—allowing students to repeat class 9 in case they fail, setting teachers free from nonteaching duties and providing extra financial support to economically underprivileged students can significantly prevent school dropout at secondary level. The study further argues that easy promotion policy in early classes may retain more children at school but it causes high rates of dropout from secondary classes.