Rivermate | Pakistan flag

Pakistan

Employee Rights and Protections

Explore workers' rights and legal protections in Pakistan

Termination

In Pakistan, the Industrial and Commercial Employment (Standing Orders) Ordinance, 2018 (Standing Orders) provides the legal framework for termination of employment, including dismissal, notice periods, and severance pay.

Lawful Grounds for Dismissal

The Standing Orders outline several reasons for which an employer can lawfully terminate an employee's contract. These include:

  • Misconduct: This includes theft, fraud, insubordination, or violation of company policies.
  • Incompetence or Inefficiency: If an employee consistently fails to perform their duties satisfactorily.
  • Absence without Leave: Continuous absence exceeding a period determined by the contract or Standing Orders can be grounds for dismissal.
  • Violation of Legal Enactments: An employee who breaches a law directly affecting their job performance can be dismissed.
  • Negligence Causing Financial Loss: Employees can be dismissed for negligence that results in demonstrable financial harm to the company.

The Standing Orders emphasize the need for a fair inquiry before dismissal, including providing the employee with an opportunity to explain their actions.

Notice Requirements

The Standing Orders require employers to provide written notice to employees before termination. The required notice period is determined by the employee's length of service:

  • Less than one year: One month's notice
  • One year or more but less than three years: Two months' notice
  • Three years or more: Three months' notice

During the notice period, the employee remains employed and entitled to their full salary and benefits.

Severance Pay

In the case of termination without fault on the employee's side, the Standing Orders entitle them to receive severance pay. The amount is calculated based on the employee's last drawn salary and their length of service:

  • Less than one year: No severance pay
  • One year or more: One month's pay for every year of service

Exceptions exist for employees dismissed due to misconduct or gross negligence, who forfeit their severance pay entitlement.

Discrimination

Pakistan has made significant progress in establishing a legal framework that combats workplace discrimination. While there isn't a single, overarching anti-discrimination law in Pakistan, several legal provisions offer protection against discrimination based on specific characteristics.

Protected Characteristics

These characteristics include:

  • Religion: The Constitution of Pakistan guarantees the right to profess, practice, and propagate religion. This extends to protection from discrimination in employment based on religious beliefs.
  • Race, Caste, Ethnicity, or Place of Birth: The Equality of Opportunity Act, 2010, prohibits discrimination based on these factors in public employment.
  • Gender: The Constitution guarantees equality before the law and prohibits discrimination on the basis of sex. Several laws reinforce this principle, including the Sindh Maternity Benefit Ordinance, 2011, which protects women from pregnancy-related discrimination.
  • Disability: The Persons with Disabilities Act, 2018, safeguards the rights of people with disabilities, including protection from discrimination in employment.

The legal landscape regarding anti-discrimination in the private sector is evolving. While the aforementioned laws provide a framework, there's a need for more comprehensive legislation specifically addressing private sector employment.

Redress Mechanisms

If you believe you have been discriminated against in the workplace, here are some ways to seek redress:

  • Internal Complaint Procedures: Many organizations have established internal grievance redressal mechanisms. Utilize these channels to file a complaint and seek resolution within the organization.
  • National Industrial Relations Commission (NIRC): The NIRC is empowered to adjudicate disputes related to unfair labor practices, which can include discrimination.
  • Civil Courts: You can file a lawsuit in civil courts alleging discrimination. This route may require legal assistance.

Employer Responsibilities

Employers in Pakistan have a legal and ethical responsibility to foster a discrimination-free workplace. This includes:

  • Developing and Implementing Anti-Discrimination Policies: These policies should clearly define prohibited forms of discrimination and outline complaint procedures.
  • Providing Diversity and Inclusion Training: Educate managers and employees about anti-discrimination laws and fostering an inclusive work environment.
  • Creating a Fair and Equitable Recruitment Process: Ensure job descriptions and recruitment practices are free from discriminatory language or bias.

Working conditions

In Pakistan, regulations have been established that outline the minimum requirements for working conditions across various sectors.

Work Hours

Under the Factories Act, 1934, which applies to factories employing 10 or more workers, the working week is restricted to a maximum of 48 hours and a workday to 9 hours for adult workers, defined as those above 18 years old. The West Pakistan Shops and Establishments Ordinance, 1969, which regulates working hours in shops and commercial establishments, also sets a maximum workweek of 48 hours. It's important to note that these regulations primarily establish a maximum limit on working hours. Concepts like minimum daily or weekly hours, or limitations on overtime work, are not explicitly addressed in these legislations.

Rest Periods

The Factories Act, 1934 mandates a rest period of at least one hour for every six hours of work. Unfortunately, specific regulations regarding meal breaks are not explicitly defined.

Ergonomic Requirements

Ergonomic considerations are not explicitly mandated by a single, overarching legislation in Pakistan. However, the Factories Act, 1934 empowers the government to make rules for the "safety, health, and welfare" of workers. These rules might touch upon ergonomic principles in specific contexts.

While there are regulations in place, it's acknowledged that stronger enforcement mechanisms are needed to ensure consistent application of these standards across all workplaces in Pakistan.

Health and safety

Ensuring a safe and healthy work environment is crucial for both employers and employees in Pakistan. The primary legislation governing health and safety in factories employing 10 or more workers is the Factories Act, 1934. It outlines various employer obligations and employee rights.

Employer Obligations

Under the Factories Act, employers have several obligations:

  • Providing a Safe Work Environment: Employers must ensure the factory premises, machinery, and processes are safe and without risk to health.
  • Maintaining Cleanliness: The act mandates the upkeep of clean and sanitary workplaces.
  • Adequate Ventilation and Lighting: Proper ventilation and lighting are essential for worker well-being.
  • Prevention of Dust and Fumes: Employers must take steps to minimize exposure to dust and fumes.
  • Medical Examination: The act mandates medical examinations for certain categories of workers exposed to hazardous environments.

These are some of the core obligations, and the Factories Act empowers the government to establish further regulations for specific industries or hazards.

Employee Rights

The Factories Act also recognizes employee rights concerning health and safety:

  • Safe Work Environment: Employees have the right to work in a safe environment free from foreseeable risks.
  • Refusal of Unsafe Work: Workers can refuse to perform work they believe to be unsafe.
  • Access to Information: Employees have the right to access information on workplace hazards and safety procedures.

Understanding these rights empowers employees to actively participate in maintaining a safe work environment.

Enforcement Agencies

The primary responsibility for enforcing health and safety regulations falls on the Provincial Departments of Labour. These departments conduct inspections and have the authority to issue violation notices and impose penalties on non-compliant employers.

The Sindh Environmental Protection Agency (SEPA) plays a role in enforcing health and safety standards related to environmental hazards in workplaces within Sindh province.

It's important to note that concerns exist regarding the adequacy of enforcement mechanisms. Strengthening enforcement and promoting a culture of safety remain ongoing challenges.

Rivermate | A 3d rendering of earth

Hire your employees globally with confidence

We're here to help you on your global hiring journey.