Traders allege misuse of worker funds

Seek transparent audit of millions being contributed every month.

FAISALABAD: Leading trade bodies of the textile industry have voiced fears that pension, social security and labour funds are being spent on unproductive purposes and invested in unnecessary and unprofitable areas, and have demanded a transparent and independent audit of these funds.

The demand came after a joint meeting of Pakistan Textile Exporters Association, Pakistan Hosiery Manufacturers Association, All Pakistan Cotton Power Looms Association and other such bodies here on Tuesday.

Participants of the meeting said these departments were collecting more than Rs70 million per month from Faisalabad, but the funds were not being spent on the welfare of workers.

The traders said the government had not contributed a single rupee to the fund and the entire amount had been collected from factory owners. The government used the money for political objectives and the workers were deprived of pension, health and educational benefits, they alleged.

They termed investment of worker funds in the stock market risky and sought proper representation of the traders on the board of trustees of these departments.

The traders proposed a transparent third-party audit of the departments and offered to bear all expenses.

Published in The Express Tribune, February 29^th, 2012.