LABOR UNIONS IN PAKISTAN

LABOR UNIONS/ LABOR RIGHTS & LABOR LEGISLATION IN PAKISTANHUMAN RESOURCES MANAGEMENTBy Abdullah Patoli1PAKISTANI WORKPLACECharacterized by:

Long working hrs.Low wagesPoor health & safety programsIncreasing curbs on freedom of association & collective bargaining2TOTAL LABOUR FORCE IN PAKISTANAPPROX : 37.15 MILLION

47 % AGRICULTURE SECTOR

10.50 % MANUFACTURING & MINING

42.50 % VARIOUS OTHER PROFESSIONS3LABOR LAWS IN PAKISTANTHE 1973 CONSTITUTION OF PAKISTAN :

ARTICLE 11 :

Prohibits all form of slavery, child labor and forced labor

ARTICLE 17 : Rights to exercise the freedom of association & the right to form unions

ARTICLE 18 :

Protects the rights of its citizens to enter upon any lawful profession or occupation

ARTICLE 25 :

Lays down the right to equality at work & prohibits discriminatory practices on the part of the employers

4LABOUR LAWS IN PAKISTANTHE INDUSTRIAL & COMMERCIAL EMPLOYMENT ORDINANCE 1968 :

Addresses the relationship b/w employer & employee

Issues covered are :

Contract of employment Letter of employment Contents of letter of employment Termination of contract 5LABOUR LAWS IN PAKISTANFACTORIES ACT 1934 :

WORKING HOURS MAX. HRs. 48 PER WEEK FOR 18+ MAX HRs. 42 PER WEEK FOR UNDER 18

LEAVE ENTITLEMENT 14 DAYS ANNUAL LEAVE 10 DAYS CASUAL LEAVE 16 DAYS MEDICAL LEAVE

6LABOUR LAWS IN PAKISTANMATERNITY BENEFIT ORDINANCE 1958 :

Six weeks pre natal and post natal paid leave for female workers7LABOUR LAWS IN PAKISTANTRADE UNIONS AND EMPLOYER ASSOCIATION REGULATIONS :

ARTICLE 17 OF THE 1973 CONSTITUTION

ARTICLE 3 OF THE IRO 2002 :

8LABOUR LAWS IN PAKISTANREGISTRATION OF TRADE UNIONS :

Registrar

Confers a legal existence as an entity separate from its members

Office bearers of TUs are given protection against arbitrary transfer, discharge and dismissal9LABOUR LAWS IN PAKISTANCOLLECTIVE BARGAINING :

Provisions for the appointment of collective bargaining agent(CBA)

CBA is a registered TU elected by secret ballot

CBA is entitled to undertake negotiations10LABOUR LAWS IN PAKISTANIN CASE OF INDUSTRIAL DISPUTE :

Either party has to communicate this to other party in writing

Upon receipt of this communication, the other party has got 15 days to settle the issue11LABOUR LAWS IN PAKISTANCONCILIATION :

If both parties fail to resolve the issue, the employer or CBA may within 15 further days serve a notice of conciliation 12LABOUR LAWS IN PAKISTANARBITRATION :

If the conciliation efforts fails, then the conciliator can persuade the parties to take the issue to an arbitrator (mutually agreed)

Arbitrator gives the verdict within 30 days which is final and valid for two years13STRIKES / LOCK OUTSSECTION 31 OF THE IRO 2002 :

If failed to decide on arbitration, the employees have got the right to call for a strike

SECTION 32 OF THE IRO 2002 :

Lockout/strike is not allowed in public sector utility service

No party may go for strike/lock out during the course of conciliation/arbitrary proceedings

14GRIEVANCE HANDLINGARTICLE 46 OF THE IRO 2002 :

Employee is allowed to report grievance within one month of the day on which cause of such grievance arises

Employers have to settle it within 15 days

Workers may take it to labor court15UN & ILO DECLARATIONSPAKISTAN is a signatory to both :

1948 UN, Universal Declaration of Human Rights, &

1998 ILO Declaration on fundamental principals and rights at work16UN AND ILO DECLARATIONS1948 UN UNIVERSAL DECLARATION RECOGNIZES :

the right to work , to freely choose employment and to have just and favorable working condition17UN AND ILO DECLARATIONS1998 ILO DECLARATION PLEDGES : To promote opportunities for women and men to obtain decent & productive work, in conditions of freedom, equity, security and human dignity. 188 ILO LABOR CONVENTIONSPakistan has also ratified the eight core ILO conventions.These conventions codify the four,4, basic human rights related to the world of work:The right to : Organize & engage in Collective Bargaining Equality at work The abolition of child labor Abolition of forced labor191973 CONSTITUTION OF PAKISTAN1973 Constitution also promotes equality at work. For example, as per Article 37c of the constitution:

the state shall make provisions for security just and humane conditions of work .

Similarly, Article 3 says:

shall ensure the elimination of all forms of exploitation and the gradual fulfillment of the fundamental principle, from each according to his ability, to each according to his work.

20EASIER SAID THAN DONE!The above legislative support has failed to support labor rights in Pakistan.The problem is compounded with the controversial promulgation of :

IRO 2002 &FINANCE BILL 200621The Notorious IRO 2002Great dent on labor rights & Collective Bargaining.

KEY FEATURES:

Several sectors exempted from IRO, prominent ones being armed forces, defense, railways, police, fire services & PIA

Allows only one union to serve as the collective bargaining agent in a given establishment22The Notorious IRO 2002 Contd..Powers of the Registrar of Unions have been widened to the extent that he can refuse or cancel unions registration.

There are many legal hitches with regard to the rights of strikes

The govt. has the right to ban any strike23SEC.144 & ANTI TERROR ORDINANCE.Besides above anti-union provisions in the IRO 2002, following two also serve as anti union measures:

SEC. 144 OF THE CODE OF CRIMINAL PROCEDUREThis makes any gathering of more than four people subject to police authorization. Hence it can be used against TU gathering.

1999 ANTI TERRORIST ORDINANCEIllegal strikes, go-slow actions, and picketing are considered as forms of civil disorder under this ordinance.24CEACR OF ILOThe committee of experts on the applications of conventions and recommendations, CEACR, of the ILO is continuously fighting with the govt. of Pakistan on two grounds, either to:

Amend the current labor legislation; orAdopt specific legislation so as to ensure labor rights in Pakistan

25CEACR OF ILOALAS! SO FAR THEIR EFFORTS HAVE NOT BORNE FRUITS.26TRADE UNION RIGHTS IN PRACTICE IN PAKISTAN On 21 July 2006, the Education & Literacy dept. Of the govt. of Sindh abruptly banned unions and associations among teachers and all other employees.

Coca Cola, an MNC, has a long record of anti union activities in Pakistan

On 22 Aug 2006, about 2000 number of teachers unions in the province, grouped under the banner of the Sindh employees association (sea), held a major protest against the order in front of the Karachi press club27TRADE UNION RIGHTS IN PRACTICE IN PAKISTAN Court forces Nestl to recognise trade union election results:

On 28 July the Punjab Labour Court ruled in favour of the Employees Union at Nestl Milkpak, a member of the IUF-affiliated National Federation of Food, Beverage and Tobacco Workers, reaffirming the right to free union elections. The decision brought to an end months of intimidation and harassment by Nestl management, which had attempted to force the democratically elected union president, Mohammad Hussein Bhatti, to resign.Over the preceding year, the management at Nestl Kabirwala interfered in union elections, overturning the election results; dismissed the elected union president, Brother Bhatti; fabricated signatures in court petitions; and violated a series of court orders following Mr. Bhatti's reinstatement by the Labour Court. Despite being refused entry into the factory, Mr. Bhatti won the union elections on 27 February 2007. Management continued to prevent him from entering the factory, however, and petitioned in court for his dismissal.On 28 July the Punjab Labour Court rejected the management's petition. The Court also directed the registrar of trade unions in Punjab to validate the election of Mr. Bhatti and all the office bearers in his team.

28TRADE UNION RIGHTS IN PRACTICE IN PAKISTAN Unilever steps up its anti union actions:

The IUF reported that Unilever management stepped up its attacks on the union at its Rahim Yar Khanen factory with a massive presence of armed police, elite soldiers and private security guards at the factory. When the union announced its intention of opening up membership to "temporary" staff, several of whom had worked at the factory for many years, and help them obtain the status of permanent staff, granted in law to all employees with more than nine months continuous service, the company responded by dismissing all but five of its 292 temporary employees. They were replaced by occasional workers recruited by agencies and who have no legal possibility of acquiring permanent status.

29TRADE UNION RIGHTS IN PRACTICE IN PAKISTAN The Liaquat National Hospital workers union has continued to be denied registration on the pretext of its being a charitable institution.

The State owned PNSC has conducted a continuous campaign of harassment against the all Pakistan seamen workers union.30TRADE UNION RIGHTS IN PRACTICE IN PAKISTAN WITHOUT THE CONSENT OF THE COUNCIL COMMON INTEREST, THE PRIVATIZATION COMMISSION CARRIED OUT 58 PRIVATIZATION TRANSACTIONS , INCLUDING THOSE OF PUBLIC UTILITIES , SUCH AS KESC & PTCL, DURING DEC99 & AUG05.

THE IMPACT OF THE ABOVE TRANSACTIONS WERE ADVERSE:

JOB LOSSES WITH OR WITHOUT REASONABLE COMPENSATION FOR SURVIVORS: EMPLOYMENT CONDITIONS CHANGED FOR WORSE 31FINANCE BILL 2006FINANCE BILL 2006, FURTHER AGGRAVATED THE SITUATION:

AMENDMENTS INTRODUCED IN SEVERAL LABOR LAWS SUCH AS:

FACTORIES ACT 1934 STANDING ORDERS ORDINANCE 1968 SHOPS & ESTABLISHMENT ORDINANCE 1969 WEST PAKISTAN INDUSTRIAL & COMMERCIAL EMPLOYMENT ORDINANCE 196832FINANCE BILL 2006 Contd..THE OUTCOMES OF THE ABOVE AMENDMENTS WERE :

INCREASE IN WORKING HRS. & OVERTIMEADDED CONTRACT WORKER TO THE DEFINITION OF WORKER WITHOUT ENTITLEMENT OF OVERTIME

33NEW DEVELOPMENTSIndustrial Relations Act 2008 was passed by both the Houses in November 2008.The Act is an interim Bill and was itself lapsed on 30th April 2010.The Act replaces the IRO 2002.Industrial Relations Ordinance, 2011The Industrial Relations Ordinance, 2011 has been promulgated by the Ministry of Law, Justice and Parliamentary Affairs on 18th July 2011. It extends to the whole of Pakistan and apply to all persons employed in any establishment or industry in the Islamabad of Capital Territory or carrying business in more than one Province.

18th Amendment!!As a result of the Constitution (18th Amendment) Act, 2010 passed by the Majlis-e-Shoora on 20.04.2010 , Trade Union Industrial and Labour Disputes are now to be enforced by each Province to be dealt with under the Labour Law promulgated by these provincial governments and workmen are to avail remedy either through Labour Court or Labour Appellate Tribunal established by the provincial governments.