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Since creation of Pakistan, five labour polices have been announced by the governments in the year 1955, 1959, 1969, 1972 and 2002.All these polices basically laid-down the parameters for the growth of trade unionism; the protection of workers rights; the settlement of industrial disputes and redressal of worker grievances.After 2002, no Labour Policy has been introduced although a number of developments took place in the intervening period, which would have necessitated the same.

In this scenario the Prime Minister of Pakistan in his first speech emphasized the need to address the labour issues and announced the lifting of ban on trade unionism, repeal of Industrial Relations Ordinance, 2002, Removal from Service (Special Powers) Ordinance, 2000 and other anti labour laws.In pursuance of Prime Ministers directions a new Labour Policy of the Government is placed.

Of all the previous policies, the Labour Policy of 1972 taken out by Shaheed Zulfiqar Ali Bhutto was the most progressive one, which reformed the labour laws and

set out new benchmarks including new administrative infrastructure to manage the workers welfare, viz Workers Welfare Fund Ordinance; Employees Old-Age Benefit Act; amended Industrial Relations Ordinance with enhanced protection of workers rights like imposing condition on the authority of employer to terminate workers job.The scope of labour laws was enhanced and benefits such as Workers participation in factory management; increase in workers shares in companys profits from 2% to 4% and then to 5%; Nomination/election of shop-stewards to attend day to day workers problems; Settlement of disputes through Works Councils; Establishment of Workers Children Education Cess; Representation of workers on the Governing Body established under WorkOrdinance; and increased profit-sharing, statutory bonus, group insurance scheme, group incentive scheme, etc.were granted.

The present Governments fundamental commitment today is to create an enabling environment for the application of universal principles of equality and social justice as well as the constitutional and international rights of workers.The rights and commitment based approach to labour issues is being followed also in accordance with the edicts provided by the Constitution of the Islamic Republic of Pakistan.In order to fulfill the obligations under the Constitution as well as under the international covenants with regard to well being and socio-economic protection of the workers, the announcement of the new policy of the Government has become inevitable.

The Governments vision for the new Labour Policy contents are entrenched in the four main guiding features.The process of globalization is posing a serious problem of economic survival for the developing country.The foreign investments demand restructuring and decentralization of the system.

The new technologies demand the new labour policy is supported by the four pillars outlined in therein.

In the end, I extend on behalf of the Government of Pakistan, my thanks to the Secretary Ministry of Labour & Manpower and his team for their hard work and dedication in finalizing the draft of the labour policy, which was overdue for the past eight years.

I also pay special tribute to Workers and Employers Organizations, Ministries, Provincial Governments and all other stakeholders for their contributions and useful suggestions towards the realization of this labour policy.Syed Khursheed Shah Federal Minister for Labour and Manpower May 01, 2010

Just and humane conditions of work be guaranteed to all workers.

Forced labour in all its forms to be eliminated.

Provisions relating to the employment of children to be strictly adhered to and be enforced.2.

The Labour Policy has accordingly been divided into four parts, i.e.

i) Legal Frame Work; ii) Advocacy: Rights of Workers and Employers;

iii) Skill Development and Employment;

iv) Manpower Export.LEGAL FRAME WORK3.

The Government is of the considered view that an atmosphere of industrial peace and understanding is the need of the hour.The Government would encourage and assist the process with volition of both workers and employers.It will protect legitimate rights and interests of workers and employers and minimize the areas of friction which compel either of them to agitate.The question of unwilling and reluctant workers has, however, remained a source of concern equally for the Government, employers and trade unions leadership.The Government is committed for the welfare and protection of workers 4.

The unions having the support of sizeable number of members shall be, recognized, given due protection, and provided all facilities to further the interests of their members.

Only those unions shall be recognized who to their credit have the support, of a minimum of 15 per cent of total membership of the establishment, which they represent.The rest of the unions by default shall stand dissolved.


The institutions of Shop Stewards, Work Councils and Joint Management Boards which have up till now remained dormant, shall be encouraged and re-activated for their rightful participation in improving labour-management relations at plant level.6.

The Government repealed the Industrial Relation Ordinance 2002 through the Industrial Relations Act 2008.Now a new law in conformity with the International labour Standards will be promulgated.Section 27B of the Banking Company Ordinance shall be repealed.


The deliberations of the Working Group will involve close cooperation with workers and employers organizations, and will result in the preparation of a detailed policy paper for the development and implementation of national wage policy, including minimum wages, in the medium to longer term.


In line with Manifesto of the Pakistan Peoples Party the Government shall gradually enhance wages of the workers.The wages shall continue to be reviewed at least once in a year and minimum gross emoluments will be progressively raised.


The minimum wage was raised from Rs.

4600/- to Rs.6000/- in the year 2008, which will be further enhanced to Rs.7000/- there are increase of about 17%.14.

All industrial, commercial and other establishments registered under any law shall pay wages to the employees through Cheque/Bank transfer.

Women Empowerment and Gender Equality15.

International Labor Organizations project Women Employment Concerns and Working Condition in Pakistan (WEC-PK) funded by CIDA has been Implemented in collaboration of Ministry of Labour and Manpower to enhance the quality and number of women employment in Pakistan with ultimate goal of economic empowerment of women in rural and urban areas.

A number of productive programs have been completed under this project aimed at creating conducive working environment for women such as Sensitization and capacity building of policy makers and implementing partners in public and private sectors; Direct Assistance to Women in getting Decent Employment; Promoting Gender Equality in Private Sector Employment in Pakistan; and promoting Women's participation and Leadership in Trade Unions in Pakistan 16.

Another project titled Towards Gender Parity was initiated in January 2010 in collaboration of Ministry of Labour for the period of one year.The focus of the project activities would be on capacity building of stake holders on relevant areas and International Labour Standards (ILS); Establishment of coordination mechanism among partners to monitor, learn and share experience; Promotion of gender- responsive data collection, analysis and reporting through a joint effort of all stake holders; strategy for gender equality in skill development and small and medium enterprise program; strategy for implementation of Women Empowerment Act; Advocacy for the implementation of national policy of Home-based Workers and pilot activities for integration of HBWs into main stream.


Women Workers 17.

Women workers will benefit from the application of ILO Convention on Equal Remuneration, 1951 (No.100), ratified by Pakistan in 2001.Minimum and above-minimum wages whe basis of equal pay for equal work, and equal pay for work of equal value, as between men and women, in accordance with Pakistans obligations under ILO Conventions 100 and 111 concerned with equality and non-discrimination will also benefit from better information concerning their working conditions and arrangements in the informal economy, from improved maternity arrangements, codes of conduct relating to sexual harassment and, where possible, day care arrangements for their children.


The Government is committed to providing women with equal opportunities for employment and will re-examine existing legislation to ensure that women are not denied access to suitable jobs that are arising due to Pakistans changing labour markets.

Young Persons20.

Workers between the ages of 14 and less than 18 years will not be engaged in hazardous working conditions and other working environments that adversely affect their physical and moral development.They will also be provided greater access to education and training, particularly training, tailored to identified labour market needs.


Children and young persons will be withdrawn and prevented from hazardous nature as, for example, mining, tanneries, brick kilns, construction, and glass bangles etc.Special programmes will be designed to focus young domestic workers employed in private households.

Payment of minimum wage Mine Workers22
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The majority of workers in Pakistans mining industry are employed on a contract basis, often through a somewhat complicated system of sub-contracting making it difficult to identify the actual employer.

Mine workers are covered by special legislation that place them outside mainstream labour legislation.

The Government, in the first instance, proposes to extend the coverage of Workmens Compensation Act, 1923, to provide compensation in case of injury as well as death to workers of mechanized farms in the rural sector.Informal Economy Workers 29.

Extending labour protection to the countrys large and diverse informal economy is a major challenge.The informal economy supports millions of people across a large geographic area, undertaking a wide variety of low-paid,

low-productivity jobs, under working conditions that are frequently harsh, unhealthy, and hazardous.Informal economy workers are not covered by labour laws.

Government is planning to make it mandatory for the labour administration to take the initiative to see how it can best reach out to such workers and provide them with basic protection through the provision of advisory services, based on a labour extension in the informal economy, including home workers and domestic workers, will benefit from improved safety and health arrangements, access to social security arrangements, and the payment of minimum wages, where an employee- employer relation is evident.The employment of children less than 14 years will be eliminated, and the employment of those between the ages of 14 and less than 18 years will be strictly controlled, through a combination of stronger legislation and the introduction of labour extension services.


A Tripartite Council on Health and Safety be set-up to identify health and safety hazards for workers of all economic sectors and to make recommendations for safety measures on a continuous basis.

Pakistan Tripartite Labour Conference and

Standing Labour Committees32.

Industrial peace is a pre-requisite for economic development and social progress of any country.The necessity of enlightened and constructive outlook on the part of s, which will promote understanding and, obviate confrontation is, therefore, essential.

The Pakistan Tripartite Labour Conference and Standing Labour Committee shall be activated to play more effective role in resolving differences, if any, between workers and employers and to create an environment of mutual trust and understanding for the promotion of industrial peace.

With a view to draw the maximum benefit out of the experience of both the workers and the employers, greater representation dismissed/retrenched worker will be paid legal aid subject to 35.

Provincial Employees Social Security Ordinance, 1965 is in operation and covers the contingencies of employment injury, sickness and maternity.It is financed entirely through employers contribution at the rate of 6 percent of the wages of the secured workers up to Rs.10,000/- p.m.

The scheme is administered by the Provincial Governments.36.

Though the Social Security Scheme has been in operation for many years, it has not achieved its full potential.Its coverage has remained almost static over the last more than ten years.Implementation of the scheme would be improved and intensified by undertaking the following activities: i) Steps would be taken to adopt geographical coverage rather than by notification of establishments.ii) The amount of death grant to meet funeral expenses of a worker will be raised from Rs.1500 to Rs.15000.iii) Scope of social security medical services would be expanded to public health to cover prevention of illness and promotion of good health.iv) The entitlement condition for seasonal labour would be considerably improved.

In cases where the social security hospital has no facilities for treatment, the worker shall be referred to any public/private hospital and the respective Social Security Institution will bear all costs of The retired registered worker will be provided mefrom the Social Security Scheme.vii) The Social Security Ordinance will be suitably amended to remove the lacunas and difficulties experienced by the Provincial Governments.

vii) The survivor pension shall be paid to disabled children for life and unmarried daughters till their marriage without any Pension shall be enhanced with the enhancement of Government Servants Pension at the same ratio.The age for entitlement of old-age pension will be reduced from 55 years to 50 years in case of mine workers.x) Amendments be made in the law to remove any lacuna or administrative problem.ADVOCACY; RIGHTS OF WORKERS AND EMPLOYERS: DECENT WORK.39.

The Labour Policy envisages a harmonious working relationship between workers and employers for improving the performance and efficiency of the industry.The rights and obligations based approach to labour issues is being followed also in accordance with the Constitution of the Islamic Republic of Pakistan.In order to fulf well as under international covenants with regard to well being and socio-economic protection of the workers, a strategy has to be evolved and pursued in accordance with the concept of decent work in the employment sector.


The economic growth is a pre-condition for expanding productive employment.But economic growth in itself could not reduce poverty.Only productive and remunerative employment could eliminate poverty and deprivation.Pakistan has ratified many international commitments relating to labour standards such as 34 ILO Conventions (33 in force) which include seven of the eight fundamental conventions encompassing freedom of association, the abolition of forced labour, equality at work, the elimination of child labour, the Convention on the Rights of the Child, the Convention on the Elimination of All Forms of Discrimination Against Women, Universal Declaration of Human Rights, International Covenant on Economic, Social and Cultural Rights , International Covenant on Civil and Political Rights and

Anti-Slavery Convention of the UN.The Government believes that in the light of its international commitments the strategic goal of decent work means paying equal attention to economic and social development, with special attention to safeguarding the rights and interests of the workers.

The economic globalization offers new opportunities, but

at the same time it presents challenges to workers all over the world.

The decent work strategy responses to the social challenge.The decent work strategy of the country comprises four elements that are closely related: employment in less developed regions to remove regional disparity vi) Self-reliance and austerity will be taken as cardinal planks of the entire policy package.vii) A concerted effort will be made to radically of females in income generating economic activities.viii) Well trained skilled labour force will be developed to help achieve significant gains in productivity and efficiency primarily through the efforts of the private sector.

ix) Full support will be provided to Pakistanis seeking employment opportunities abroad and assistance in productive re-absorption of returning migrants.x) Opportunities for self-employment will be incurred for those with education, skills and entrepreneurship especially through better i) Particular emphasis will be given on Training of Trainers to maximize the multiplier impact.ii) Training in para-medical services, of which presently there is an acute shortage will be increased.

iii) The industrial apprenticeship schemes will be revitalized and intake iv) The production of skilled manpower for assimilation and spread of new modern technologies especially in the application of electronics, computers and modern production systems will be encouraged.v) Mobile training units and trade-tests (through the National Training Board Skills Standard and Certification System) for those who are trained through the informal Ustad-Shagird system will be introduced.i) During the past decade with an expected growth rate of the labour force of 3.3 percent per annum, the economy is faced with the formidable task of creating 1.25 million jobs annually, if the unemployment and under-employment situation is not to worsen.

ii) The problem of the educated unemployed youth is serious thus iii) Educational level and skill training of the industrial work force remains very low.

iv) Women are Pakistans least utilized human resource.Woman labour force participation depicts a gloomy picture.v) The scientific manpower base in Pakistan lacks strategic depth in meeting contemporary needs of the country.Only 20 percent of the relevant age groups pass matriculation and only a quarter of these students pursue further studies in Labour Market Information is presently not collected in a consistent and systematic manner.vii) The global financial crisis has aggravated Pakistans economic Persons with Disabilities45.

The Government will ensure the special quota for employment of disabled persons in all establishments in private as well as public sector.It will be ensured that discrimination in any case should not be practiced in appointments and/or promotions of persons with disabilities.Equal status and equal opportunities will be provided to all workers including the handicapped.

The Government will establish complexes for education and training of disabled workers and disabled children of workers under one roof, especially in remote parts of the country from the Workers Welfare Fund.46.

The eunuchs are the most neglected human resource segment of the society, subjected to humiliation and molestation.They are not exposed to education and instead are trained to beg, dance or forced into prostitution.Transgendered people are misunderstood and ridiculed for being born in the wrong body and are condemned to exist at the bottom rung of Pakistans social

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