NA panel defers vote on union activities curb bill

Takes exception to reasons cited to suppress labour rights at Pakistan Mint

ISLAMABAD: The National Assembly Standing Committee on Finance on Thursday deferred vote on proposed Pakistan Coinage (Amendment) Act 2019 presented by the government in a bid to suppress labour union activities at the Pakistan Mint.

The bill, proposed by the Ministry of Finance, sought amendment in the Industrial Relations Act of 2012, which allows trade union activities. "[The act] shall not apply to or in relation to any person in the service of Mint," it said.  However, the committee member took exception to the amendment.

"By proposing to suppress union activities, the Finance Ministry is violating the Constitution and trying to address a simple administrative issue through bringing amendment in the law," said Asad Umar, former finance minister, who was chairing the committee meeting.

During the meeting, Special Secretary Finance Omar Hameed said the Pakistan Mint is a sensitive organisation that has been declared as category I-A by sensitive security agencies.

He said the Essential Services (Maintenance) Act of 1952 was enforced on the Pakistan Mint in December 2013. The 1952 law bars the employees from forming unions for a period of six months and the government is extending its duration after every six months, he said.

When the ruling Pakistan Tehreek-e-Insaf's (PTI) Dr Ramesh Kumar tried to defend the curb on union activities, chairman of the committee Asad Umar said Kumar probably had not read constitution of the PTI that guarantees labours' rights.

Pakistan Muslim League-Nawaz's (PML-N) Ahsan Iqbal reminded the chair that the bill was signed by the Adviser to Prime Minister on Finance Dr Abdul Hafeez Shaikh – the de facto finance minister who replaced Asad Umar.

Members belonging to the PML-N and Pakistan Peoples Party (PPP) as well as the ruling PTI protested against Hafeez Sharikh's constant absence from the standing committee meetings.

The PTI MNA Faheem Khan said the chairman should bind Shaikh to attend the next meeting and should not accept any of his excuse. The PPP's Dr Nafisa Shah proposed to issue warrants of the finance adviser, in case he does not appear in the next meeting.

However, Umar said Shaikh was not the only finance minister who was not coming to attend the committee meetings, as the finance minister during the last PML-N government –  Ishaq Dar – also used to be absent from the committee meetings.

"I strongly oppose the Coinage Amendment Bill that the government wants to approve to suppress the labour rights in the name of smooth functioning of the Pakistan Mint," said the PPP's Naveed Qamar.

He said the government has proposed that the 'harmful' labour union activities in the Pakistan Mint should be permanently banned as the organisation is the only coinage entity in Pakistan. "The reasons it presents for suppressing the labour rights are ridiculous," Qamar said.

He said the government wants to suppress union activities by declaring manufacturing of military medals as a matter of national security.

"Pakistan Mint being service provider to Ministry of Defense and Cabinet Division manufacture and supply all types of military and civil awards which are conferred by President of Pakistan to the armed forces and dignitaries in the gallantry investiture ceremony on 23rd March every year.

"Any strike in Pakistan Mint as a consequence of union activities can spoil whole of the ceremony," said the statement of objects and reasons for amending the 1906 law. The federal cabinet has already approved the proposed amendment in the Pakistan Mint Act of 1906.

Umar suggested that the government to revisit the reasons that it has recorded to get the bill passed from the parliament.  Qamar said suppression of the union activities may adversely affect Pakistan's GSP plus status that ensures duty free exports to Europe. Brussels is very sensitive about the labour rights and it seems that the government does not want to promote exports, he added.

The mint master claimed that the strike at the Pakistan Mint could put at risk the gold and coinage work but he could not explain why there was no threat to such activities since 1947.

"The parliamentarians are not foolish to accept foolish reasons given by the government for approval of the Bill," said the PPP's Hina Rabbani Khar.

The Pakistan Coinage Act regulates minting of coins, their denomination, dimensions, design and composition of coins. The minted coins are then acquired by the State Bank of Pakistan for further distribution in market for public use.