Karachi, December 21, 2020: Ismail Suttar, President and Zaki Ahmed Khan, Vice President, Employers’ Federation of Pakistan(EFP), have totally rejected the arbitrary and unwarranted Minimum Wages notification issued by the Sindh government in which it has mandated a 20pc increase in the Minimum Wages.
Expressing astonishment and dismay over the dictatorial policies of the Sindh government, they stated that in these difficult times of the Pandemic Crisis where it has been an arduous task to continue with employment of existing workers, such actions can rightly be termed as anti-industry.
The EFP office bearers further added that a straight away substantial increase of 20pc will lead to the unemployment of unskilled workers because the employers would reduce the number of such workers who are usually employed as extra workers and are mostly peons, loaders, and messengers.
Moreover, this will also create a multiplier effect because the employers would be forced to enhance the wages and salaries of those drawing more than the Minimum Wage. This would obviously add to the burden of employers and increase the cost of doing business.
Furthermore, there is a tripartite Minimum Wage Board where their Employers’ representatives vehemently opposed the increase of 20pc in Minimum Wages. The Notification erroneously twisted the facts that EFP has accepted this increase.
Mr. Suttar and Mr. Khan sincerely advised the Chief Minister and the Labor Minister to immediately withdraw this uncalled for notification and instead enter into a meaningful dialogue with the rightful representatives of the employers.
EFP, the Apex Body of manufacturers of Pakistan, is seized with this issue and reserves the right to petition the judiciary for withdrawal of this notification. It goes without saying that the Federal and Provincial governments have maintained the existing Minimum Wages limit despite all odds.
It is surprising that the Sindh government, in order to present a façade of labor-friendly government, is bent upon negatively impacting on the process of industrialization and continues to be an anti-industry administration.
