[Pakistan] Unions negotiate 28% minimum wage hike in Punjab

[Pakistan] Unions negotiate 28% minimum wage hike in Punjab
24 Mar 2023

In Pakistan's Punjab province, unions - including IndustriALL affiliates - have successfully negotiated a 28 per cent minimum wage increase for workers employed across 102 industries in the province, IndustriALL reports.

The province of Punjab revised the minimum wage from PKR25,000 (US$88) to PKR32,000 (US$113) for unskilled work following a meeting of the provincial minimum wage board - comprising of government representatives, employers, and trade unions - in Islamabad on March 20. 

The revised minimum wage will reportedly come into effect as soon as the Governor of Punjab gives his assent.

The Punjab province has a population of over 100 million, including approximately 10 million industrial workers employed across 102 sectors, such as textile, chemical and mines, to whom the wage revision will be applicable. 

The wages of semi-skilled, skilled and highly skilled workers will also reportedly be raised, increasing to PKR35,000 (US$124).

The province’s minimum wage was last revised in 2022. Unions argued in the meeting that the skyrocketing prices of essential items meant that wages had to be immediately raised to reflect the inflation rate. 

Inflation in Pakistan rose to 31.5 per cent in February 2023 and food inflation to around 45 per cent, making it increasingly hard for workers to simply live.
Pakistan is also undergoing a severe economic crisis due to a shortage of foreign reserves. This has reportedly had a drastic effect on the export industry, such as the textile sector which is currently witnessing massive job losses.

Nadeem Parwaz - general secretary of IndustriALL affiliate PTGLWF and member of the minimum wage board of Punjab - said, “The successful negotiation of a 28 per cent wage hike is a big achievement for the unions. This will provide some relief to workers who are currently struggling to meet their daily needs amidst high inflation. We hope that other provinces of Pakistan will follow suit.”


Source: IndustriALL

(Quote via original reporting)

In Pakistan's Punjab province, unions - including IndustriALL affiliates - have successfully negotiated a 28 per cent minimum wage increase for workers employed across 102 industries in the province, IndustriALL reports.

The province of Punjab revised the minimum wage from PKR25,000 (US$88) to PKR32,000 (US$113) for unskilled work following a meeting of the provincial minimum wage board - comprising of government representatives, employers, and trade unions - in Islamabad on March 20. 

The revised minimum wage will reportedly come into effect as soon as the Governor of Punjab gives his assent.

The Punjab province has a population of over 100 million, including approximately 10 million industrial workers employed across 102 sectors, such as textile, chemical and mines, to whom the wage revision will be applicable. 

The wages of semi-skilled, skilled and highly skilled workers will also reportedly be raised, increasing to PKR35,000 (US$124).

The province’s minimum wage was last revised in 2022. Unions argued in the meeting that the skyrocketing prices of essential items meant that wages had to be immediately raised to reflect the inflation rate. 

Inflation in Pakistan rose to 31.5 per cent in February 2023 and food inflation to around 45 per cent, making it increasingly hard for workers to simply live.
Pakistan is also undergoing a severe economic crisis due to a shortage of foreign reserves. This has reportedly had a drastic effect on the export industry, such as the textile sector which is currently witnessing massive job losses.

Nadeem Parwaz - general secretary of IndustriALL affiliate PTGLWF and member of the minimum wage board of Punjab - said, “The successful negotiation of a 28 per cent wage hike is a big achievement for the unions. This will provide some relief to workers who are currently struggling to meet their daily needs amidst high inflation. We hope that other provinces of Pakistan will follow suit.”


Source: IndustriALL

(Quote via original reporting)

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