Karachi: President of SITE Association of Industry Ahmed Azeem Alvi, has in a press statement, expressed concern over an announcement made by the Chief Minister Sindh Syed Murad Ali Shah regarding enhancement of minimum wages for industrial workers from existing 37,000 to (proposed) 42,000 rupees.
He said that it is practically not possible to give such high wages to the workers at a time when industries are passing through difficult times and are at the verge of closure. The ever increasing cost of utilities has practically rendered most of the industrial units unviable to operate in the Sindh province.
Mr. Alvi mentioned that Sindh’s proposed minimum wage (if approved), will be the highest in the country as compared to other provinces and added that inflation is at 6% per annum while the wage increase proposed is 14% which has no justification at all.
Since allowances, SESSI contribution, EOBI contribution and other related levies are also calculated on minimum wage rate, it comes to almost double in the broader spectrum.
The 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 & spirit to pass on the benefit to industrial workers, saying that many employers are still not paying the existing minimum wage which shows failure of the government to implement its decisions.
Ahmed Azeem Alvi appealed to the government to consult with industrialists and make decisions that support the economy, rather than taking measures that create difficulties for industries.
