Enforcement and improvement of labour laws

Shahbaz Munir

SEPTEMBER 5, 2018
Enforcement of labour laws in our country is very poor rather its mockery. About 40 million
workforce in industrial and commercial sector is unable to get most of the benefits provided
under the labour laws of Pakistan. There is no formal survey on the implementation of labour
laws. But as an industrial relations specialist and as per my formal assessment the percentage of
overall enforcement is not more than 22%.

Minimum wages for unskilled workers which isRs 15, 000 per month fixed as on 1stJuly, 2017.
Its implementation is very poor. If I indicate figures it will shock your readers. Even PTI in its
five years term in KPK could not do Insaf. It is unfortunate and funny to promulgate laws and
increase minimum wages for unskilled workers every year but without any implementation.
Provincial governments do not have any will and capacity to implement labour laws in their own
province.

Few common facilities and benefits not provided to industrial and commercial organizations
workers in contravention of labour laws are as per following:

* Letter of appointment is not issued except in reputed industrial/ commercial establishments

which is mandatory as per law.

* Workers are not confirmed after completion of probation period of three months. In many
cases, probation period is repeatedly extended which is illegal.

* The prescribed procedure as per section 15 (3) E of the industrial and commercial employment
(standing order) Ordinance 1968 is not being follows for initiating disciplinary proceedings
against workers in case of misconduct.

* Payment of overtime and gratuity is being made on basic salary instead of gross monthly salary
which is illegal.

* As per law a month means 26 days while calculation of wages and overtime which is not being
followed causing big loss of wages/ income to poor workers.

* Only five million workers are covered under old age pension against workforce of 40 million.

* The amount of compensation under workmen compensation act, 1923and group life insurance
under ordinance 1968 in Rs 400, 000 which should be immediately raised to Rs 2.5 million.
* Provision of medical facilities to workers and their families under social security ordinance
1965 are totally insufficient and inefficient which needs overhaul and out of box solution.
Workers must be provided medical facilities through all government hospitals and payment be
made by social security department.

* Formation of trade union and collecting bargain is now a part of history in Pakistan.

* Safety, health and environment (SHE) is the weakest area of Factories Act, 1934. There is
urgent need for updating Factories Act and incorporate all latest requirements of modern day
health, safety and environment. Due to very poor health, safety and environment conditions, poor
workers have suffered and are suffering.

Factories must immediately arrange to provide:

* Firefighting equipment and trainings.

* Fire exist.

* Ear plugs where noise level is above 85 dba.

* Protection against chemical splash where chemicals are used.

* Safety shoes where required.

* Waste water treatment plant where required.

* Protection against infectious diseases.

Improvement and Implementation of labour laws, safety, health and environment will definitely
help our industry to increase productivity and exports. A socially compliant industrial and
commercial sector will automatically meet requirements of 27 conventions of ILO as required
under GSP plus.

Our labourdepartment of all provinces does not have the ability and capacity to conduct fair
labour inspections as required under factories act. There are many tragedies like Baldia Town
Fire and loss of precious human life.

We must introduce third party inspection system which is being practiced by leading importers
from Pakistan as they do not have faith in our local inspection system.

I expect new government to enact fresh labour laws keeping in view modern day requirements
and implement vigorously.

Published in Daily Times, September 5th 2018.