Govt fails to enforce minimum wage

Majority of private businesses pay their employees less than fixed wage of Rs25,000

RAWALPINDI:

The Punjab Labour Welfare Department has failed to implement the minimum wage in the private sector in the Rawalpindi division.

A large number of private organisations, businesses and entities pay less than the fixed minimum wage of Rs25,000.

Barely 30 to 40% of private organisations have implemented the law with a majority of them continuing to violate it and paying a negligible salary to their employees as the provincial labour department has completely failed to implement the law.

The labour department registered 200 cases in July and August against private sector organisations and businesses for not implementing the minimum wage.

It transpired that 60% of private sector institutions and businesses in the Rawalpindi region pay a monthly salary of Rs15,000, Rs18,000 and Rs20,000 to their employees and take duties up to 12 hours instead of the fixed eight hours.

The labour department has not been able to take action against entities and organisations, which pay less than Rs25,000 a month and engage employees for extended hours.

The Punjab Labour Welfare Department secretary has tasked officials concerned in all divisions to ensure the implementation of the minimum wage in the private sector including in departmental stores, shops, hotels, bakeries, factories, workshops, medical stores and superstores. However, the labour department officials have failed to implement the minimum wage.

Sources said that 200 challans were issued to violators in July and August and cases have been referred to area magistrates.

Business owners who pay less than Rs25,000 a month to their employees said that their businesses were not fetching that much profit that they could pay the minimum wage set by the government.

Sources in the labour department said that since inflation has increased manifold, the department will ensure the implementation of minimum wage in the private sector.

Meanwhile, despite a ban on child labour, several brick kilns, tea shops, workshops and other businesses continue to engage children for work while the labour department has turned a blind eye to the issue.

Despite a large number of children working in different sectors, the labour department could only file four IFRs in July against violators.

Around 10,000 children in the Rawalpindi district are the victim of child labour as per an estimate.

Labour Officer Dr Abdul Shakur said that action was being taken against private organisations and institutions that do not implement the minimum wage and violate the child labour laws.

Sources in the labour department said the orders regarding the minimum wage can truly be enforced if the labour officers and inspectors were given the right to impose heavy fines on violators.

Labourers and daily-wagers are the most victim of the exploitation being carried out by employers, who not only pay less sum to their employees but also engage them for extended hours without giving them the overtime as practised in the developed and industrial countries. Pakistan has badly failed to enforce labour laws across the board.

Published in The Express Tribune, August 25^th, 2022.