Pakistani Workers Face Minimum Wage Crisis and Labour Exploitation

Pakistani Workers Face Minimum Wage Crisis and Labour Exploitation
————————–
In Pakistan, a significant portion of the labour force faces exploitation through wages below the government-mandated minimum, an article by Dawn E-Paper reported. The federal minimum wage, set at Rs37,000 for 2024-2026, is widely ignored, with over 80% of private industrial units in Sindh failing to comply, according to the Sindh Assembly’s Public Accounts Committee.

Sanitation workers employed via multiple layers of contractors, such as those at the Sindh Solid Waste Management Board (SSWMB), suffer from “wage theft,” with estimated losses of Rs2.4 billion annually due to underpayment. Despite claims from officials that minimum wages are paid, workers report dismissals and salary reductions when they complain.

Legal frameworks exist under the Sindh Minimum Wages Act, 2015, with mechanisms for complaint and punishment, including fines and imprisonment for violators. However, enforcement is weak due to vacant inspector posts, lack of formal complaints, and fear of retaliation among workers.

Human rights groups argue the minimum wage is insufficient, recommending Rs60,000 monthly for a decent living. Industry representatives warn that wage hikes must consider business capacity to avoid inflation and economic disruption. The ongoing failure to enforce wage laws leaves millions struggling to survive despite official policies.