KARACHI – President of SITE Association of Industry, Ahmed Azeem Alvi, in a press statement, expressed concern over the announcement made by the Chief Minister of Sindh, Syed Murad Ali Shah, regarding the enhancement of minimum wages for industrial workers from the existing 37,000 to (proposed) 42,000 rupees.
He said that it is practically impossible to give such high wages to workers at a time when industries are going through a difficult period and are on the verge of closure. The ever-increasing cost of utilities has rendered most industrial units in the Sindh province unviable to operate.
Mr.Alvi mentioned that Sindh’s proposed minimum wage (if approved) will be the highest in the country as compared to other provinces. He added that inflation is at 6% per annum, while the proposed wage increase is 14%, which he finds unjustified.
Since allowances, SESSI contribution, EOBi contribution, and other related levies are also calculated on the minimum wage rate, the total comes to almost double in the broader spectrum.
SITE Chief has suggested reviewing the minimum wage and fixing it around 40,000/-. He stressed the need to enforce the minimum wage in letter and spirit to pass on the benefit to industrial workers, quoting that many employers are still not paying the existing minimum wage, which shows the government’s failure to implement its decisions.
