Powerloom wage standoff hits 200,000 workers

Despite the passage of five months since the Punjab government announced a minimum wage of Rs40,000 for unskilled labour, a stalemate persists between labour unions and the Powerloom Owners Association, with district authorities yet to intervene effectively to resolve the dispute.

Baba Latif Ansari, chairman of the Labour Qaumi Movement, told officials from the Deputy Commissioner's office and the Labour Department that promises made after their last protest 55 days ago to settle the wage dispute had not materialized.

He demanded immediate action and warned that failure to resolve the matter could force workers to launch renewed protests across all four districts of the division.

Ansari highlighted that dozens of Powerloom workers staged a protest outside the Directorate of Labour Welfare in Faisalabad for the government's failure to implement the revised minimum wage. The Punjab government had raised the minimum wage for unskilled workers from Rs37,000 to Rs40,000 per month on July 1, 2025, issuing notifications covering 102 types of factories. However, Powerloom owners in areas including Sadhar, Baowala, 7th Meal, Chanchil Wala, Chak 66 JB, Lakar Mandi, Painsra, Thekriwala, and Dandewal have reportedly refused to comply.

According to Ansari, around 40,000 Powerloom factories employ more than 200,000 workers, who have been denied the legally fixed wages for the last five months. He noted that workers had already observed a 38-day strike with no results, while owners staged a 22-day counter-strike.

Employers insist on paying laborers according to piece-rate production rather than fixed wages, forcing workers to endure up to 12-hour shifts, contrary to standard labor laws. Both parties had previously signed an agreement giving the Deputy Commissioner the authority to arbitrate in case of a deadlock, but Ansari alleged that the DC has shown little interest in enforcing the minimum wage decision.