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EFP Legal Opinion On Sindh Minimum Wage Board Notification Dated 17-Dec-2020

EFP LEGAL OPINION ON

RECENT NOTIFICATION OF SINDH MINIMUM WAGE BOARD
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Greetings from the Employers’ Federation of Pakistan.

Please find below the legal opinion of our Lawyer Mr. Zaheer Minhas Advocate Supreme Court on the notification issued by the Minimum Wage Board announcing Minimum Wages for unskilled and skilled workers.

"As you are aware that through a notification, the Minimum Wage Board has sought objections to enhancement in minimum wages of employees under the provisions of the Sindh Minimum Wages Act 2015.

Please be advised that Section 7 of the Sindh Minimum Wages Act 2015 provides that the Minimum Wage Board may periodically review its recommendations if any change in economic conditions, cost of living, and other factors so demand and may recommend any revision in the Minimum Wage.

From this, it appears that it is the power of the board to review its recommendations upwards or downwards depending on economic conditions.

From the current economic conditions, it’s not possible for employers to pay an enormous increase in the Minimum Wage.

Employers are protected by Article 18 of the Constitution from any action by the government which makes doing business impossible.

Besides, Article 38 provides that it is the responsibility of the government to provide food clothing and shelter.

In this peculiar situation, the government cannot escape from its constitutional duty and shift its burden to the employers.

It is strongly advised that the employers/companies should file their individual objections before the Minimum Wage Board besides the r EFP or other associations. These objections should be in hundreds if not in thousands.

Under the law, the Minimum Wage Board is required to give reasons to reject those objections.

In case the Minimum wage board gives any recommendations to the government for upwards revision of wages then the recommendations can be challenged before it is notified by the government.

So it is highly recommended that individual companies should lodge their individual objections before the Minimum Wage Board to this notification (step 1) and then challenge the recommendations in the High Court by way of the petition before it is notified by the government. (Step 2)"

Regards
Zaheer Minhas
Advocate Supreme Court
Lawyer, Employers' Federation of Pakistan

Reference to the above opinion, Members are requested to file their objections address to the Minimum Wage Board with copies to EFP immediately. This will strengthen the Employers Case while the Minimum Wage Board reviews its decision.

For any advice on the matter, please contact our;

Advocate Umair Ilyas
Law Officer
lawyer@efp.org.pk
0345-2132399
021-32463790