PROVINCIAL ASSEMBLY OF SINDH

NOTIFICATION
KARACHI, THE 12TH APRIL, 2016

NO.PAS/Legis-B-41/2015-The Sindh Minimum Wages Bill, 2015 having been passed by the
Provincial Assembly of Sindh on 25th January, 2016 and assented to by the Governor of Sindh on
07th April, 2016 is hereby published as an Act of the Legislature of Sindh.

THE SINDH MINIMUM WAGES ACT, 2015

SINDH ACT NO. VIII OF 2016

AN
ACT

to provide for the regulation of minimum rates of wages and

various allowances for different categories of workers employed in
certain industrial and commercial undertakings and establishments.

WHEREAS it is expedient to provide for regulation of Preamble.

minimum rates of wages and various allowances for different
categories of workers employed in certain industrial and commercial
undertakings and establishments and for matters connected therewith
and ancillary thereto;

It is hereby enacted as follows:-

1. (1) This Act may be called the Sindh Minimum Wages Act, 2015. Short title, extent,
application and
(2) It shall extend to the whole of the Province of the Sindh. commencement.

(3) It shall apply to all industrial establishments and commercial

establishments in the Province of the Sindh.

(4) It shall come into force at once.

2. (1) In this Act, unless there is anything repugnant in the subject Definitions.
or context -
(i) “adhoc Relief” means an allowance allowed by
Government under sub-section (4) of section 8;
(ii) “adolescent” means a person who has completed
fourteenth year of his age but has not completed
eighteenth year of his age;

(iii) “adult” means a person who has completed his

eighteenth year of age;

1
 (iv) “Board” means the Minimum Wages Board constituted
under section 3;

(v) “Chairperson” means Chairperson of the Board;

(vi) “commercial establishment” means an establishment in

which the business of advertising, commission or
forwarding is conducted, or which is a commercial
agency, and includes a clerical department of a factory or
of any industrial or commercial undertaking, the office
establishment of a person who for the purpose of
fulfilling a contract with the owner of any commercial
establishment or industrial establishment, employs
workers, a unit of a joint stock company, an insurance
company, a banking company or a bank, a broker’s office
or stock-exchange, a club, a hotel, a restaurant or an
eating house, a cinema or theater, schools, colleges,
private educational institutions, hospitals, private health
centers, clinical laboratories, private security agencies,
other establishment or class thereof which run on
commercial and profit basis, and such other
establishment or class thereof, as Government may, by
notification in the official Gazette, declare to be a
commercial establishment for the purposes of this Act:

Provided that relevant provisions of this Act shall

also apply to the employees of societies registered under
the Societies Registration Act, 1860(Act No.XXI of
1860) and the voluntary social welfare originations.

(vii) “cost of living allowance” means an allowance allowed

by Government under sub-section (2) of section 8;
(viii) “dearness allowance” means an allowance allowed by
Government under sub-section (3) of section 8;

(ix) “employer” means any person who employs either

directly or through another person, whether on behalf of
himself or any other person, any person for whom
minimum rate of wages may be declared under this Act,
and includes –
(a) in relation to a factory, a manager or other person who

2
 has overall control over the affairs of the factory; and
(b) in other cases, any person responsible to the owner for
supervision and control of such worker or for payment
of his wages;
(x) “factory” means a factory as defined in clause (j) of
section 2 of the Factories Act 1934 (Act XXV of 1934);
(xi) “Government” means the Government of the Sindh;

(xii) “industrial establishment” means –

(a) a workshop or other establishment in which the work

of making, altering, repairing, ornamenting, finishing
or packing or otherwise treating an article or
substance with a view to its use, sale, transport,
delivery or disposal is carried out, or where any such
service is rendered to a customer and any other
establishment which Government may, by
notification in the official Gazette, declare to be an
industrial establishment;
(b) a factory;

(c) an industry as defined in clause (xv) of section 2 of

the Sindh Industrial Relations Act, 2013(Sindh Act
No.XVI of 2010);

(d) railway as defined in sub-section (4) of section 3 of

the Railway Act, 1890(IX of 1890);

(e) the establishment of a person, who directly or

indirectly, employs workers in connection with any
construction work or industry.

Explanation.- “construction industry” means an

industry engaged in the construction, reconstruction,
maintenance, repair, alteration or demolition of any
building, railway, tramway, harbor, dock, pier, canal,
inland waterway, road, tunnel, bridge, dam, viaduct,
sewer, drain, water work, well, telegraphic or
telephonic installation, electrical undertaking, gas
work, or other work of construction as well as the
preparation for, or laying the foundations of, any such
3
 work or structure;
(xiii) “juvenile worker” means a worker who is not an adult;
(xiv) “member” means a member of the Board;

(xv) “minimum wages” means minimum rates of wages

announced, declared, adopted or notified by Government
from time to time which shall include the basic pay and
statutory allowances that is to say cost of living
allowance, dearness allowance and adhoc relief;

(xvi) “prescribed” means prescribed by rules;

(xvii)“rules” mean rules made under this Act;

(xviii) “unskilled worker” means a worker employed to do

unskilled labour without any skilled training;

(xix) “wages” means all remuneration, capable of being

expressed in terms of money, which would, if the terms
of the contract of employment, express or implied, were
fulfilled, be payable, whether conditionally upon the
regular attendance, good work or conduct or other
behaviour of the person employed or otherwise, to a
person employed in respect of his employment or of
work done in such employment and includes basic pay
and all statutory and non-statutory allowances, any bonus
or other additional remuneration of the nature aforesaid
which would be so payable and any sum payable to such
person by reason of the termination of his employment,
but does not include –

(a) any contribution paid by the employer to any pension

fund or provident fund;
(b) any traveling allowance or the value of traveling
concession;
(c) any sum paid to the person employed to defray
special expenses entailed on him by the nature of his
employment; or
(d) any gratuity payable on discharge.

4
 (xx) “worker” means any person employed in industrial
establishment or commercial establishment and includes
an apprentice to do any skilled or unskilled, intellectual,
technical, clerical, manual or other work for hire or
reward but does not include -

(a) a person employed by the Federal Government or

Government;
(b) persons employed in coal mines in respect of whom
minimum wages may be fixed under the Coal Mines
(Fixation of Rates of Wages) Ordinance, 1960 (Act
No.XXXIX of 1960);
(c) a person employed in the capacity of employer as
defined in clause (c) of section 2 of the Industrial and
Commercial Employment (Standing Orders)
Ordinance, 1968; and
(d) person(s) notified as an occupier and a manager under
Factories Act, 1934.

(2) Expressions used in this Act but not defined herein shall have
the same meanings, as assigned to them in the relevant labour laws.
3. (1) As soon as may be after the commencement of this Act, Constitution of
Government shall constitute a Minimum Wages Board consisting of Minimum Wages
the following, namely:- Board.

(a) the Chairperson;

(b) one member to represent the employers;
(c) one member to represent the workers;
(d) one member to represent the employers connected with
the industry or trade concerned; and
(e) one member to represent the workers engaged in such
industry or trade.
(2) The Chairperson and the members shall be appointed by
Government.
(3) The Chairperson shall be appointed from persons with
adequate knowledge of industrial, labour and economic conditions
of the Province, who is not connected with any industry or
associated with any employers' or workers' organization.
(4) The member to represent the employers and the member to
represent the workers under sub-section (1), shall be appointed after
considering nominations, if any, of such organizations as

5
Government considers to be representative organizations of such
employers and workers respectively.
(5) The member to represent the employers connected with and
the workers engaged in the industry concerned, shall be appointed
after considering nominations, if any, of such organizations as
Government considers to be representative organizations of such
employers and workers respectively.
(6) The term of office of the Chairperson and the members, the
manner of filling casual vacancies therein, the appointment of its
committees, if any, the procedure and conduct of the meetings of the
Board and its committees and all matters connected therewith,
including the fees and allowances to be paid for attending such
meetings, and other expenses, including expenses for the services of
experts and advisers obtained by the Board, shall be such as may be
prescribed.
4. (1) The Board shall, upon a reference made to it by Government, Recommendation
recommend to Government, after such enquiry as the Board may of minimum rates
deem fit, the minimum rates of wages for adult, skilled and unskilled of wages for
workers and juvenile and adolescent workers employed in industrial workers.
establishments or commercial establishments or both.
(2) In its recommendations under sub-section (1), the Board
shall indicate, whether the minimum rates of wages should be
adopted uniformly throughout the Province or with such local
variations and for such localities as specified therein.

5. (1) Where in respect of any particular industry for which no Recommendation

adequate machinery exists for effective regulation of wages, of minimum rates
Government is of the opinion that, having regard to the wages of the of wages for
workers employed in the undertakings engaged in such industry, it is workers with
expedient to fix the minimum rates of wages of such workers, it may respect to
particular
direct the Board to recommend, after such enquiry as the Board may
industries.
deem fit, the minimum rates of wages either for all such workers or
for such of them as are specified in the direction.

(2) In pursuance of a direction under sub-section (1), the Board

may recommend minimum rates of wages for all classes of workers,
including skilled and unskilled, in any grade and in such
recommendation, may specify -
(a) the minimum rates of wages for –
(i) time work;
(ii) piece work;
(iii) overtime work; and
(iv) work on the weekly day of rest and for paid

6
 holidays;
(b) the minimum time rates for workers employed on piece
work so as to guarantee minimum wages on a time basis
for such workers.
(3) The time rates recommended by the Board may be on hourly,
daily, weekly or monthly basis.

(4) The rates recommended under this section for overtime work
and work on paid holidays shall not be less than the minimum rates
fixed for such work under any other law for the time being in force.

6. (1) Upon receipt of a recommendation of the Board under section Power to declare
4 or section 5, Government may - minimum rates of
wages.
(a) by notification in the official Gazette, declare that the
minimum rates of wages recommended by the Board for
the various workers shall, subject to such exceptions as
may be specified in the notification, be the minimum rates
of wages, for such workers; or

(b) if it considers that the recommendation is not, in any

respect, equitable to the employers or the workers, within
thirty days of such receipt, refer it back to the Board for
reconsideration with such comments thereon and giving
such information relating thereto as Government may
deem fit to make or give.
(2) Where a recommendation is referred back to the Board under
clause (b) of sub-section (1), the Board shall reconsider it after
taking into account the comments made and information given by
Government and, if necessary, shall hold further enquiry and submit
to Government -
(a) a revised recommendation; or
(b) if it considers that no revision or change in the
recommendation is called for, make report to that effect
stating reasons therefor.
(3) Upon receipt of the recommendation of the Board under sub
section (2), Government may, by notification in the official Gazette,
declare that the minimum rates of wages recommended under that
sub-section by the Board for various workers shall, subject to such
modifications and exceptions as may be specified in the notification,
be the minimum rates of wages for such workers.

7
 (4) Unless any date is specified for the purpose in the notification
under sub-section (1) or sub-section (3), the declaration thereunder
shall take effect on the date of publication of such notification.
(5) Where after the publication of a notification under sub-section
(1) or sub-section (3) or after the minimum rates of wages declared
thereunder have taken effect, it comes to the notice of Government
that there is a mistake in the minimum rates of wages so declared, or
that any such rate is inequitable to the employers or the workers, it
may refer the matter to the Board and any such reference shall be
deemed to be a reference under sub-section (2).
(6) The minimum rates of wages shall not, except with the
previous approval in writing of Government, be declared under sub-
section (1) or sub-section (3) in respect of persons employed in any
undertaking under the management or control of the Federal
Government, including those employed by a Port Authority.

(7) The minimum rates of wages declared under this section shall
be final and shall not in any manner be questioned by any person in
any Court or before any competent authority.

7. (1) The Board shall review its recommendations, if any change in Periodical review
the economic conditions and cost of living and other relevant factors of minimum rates
so demand, and recommend to Government any amendment, of wages.
modification or revision of the minimum rates of wages declared
under section 6.

(2) Review and recommendation under this section shall be

deemed to be an enquiry and recommendation under section 4 or, as
the case may be under section 5, and, so far as may be, the
provisions of this Act shall, to such review and recommendation,
apply accordingly.

8. (1) Government may by notification in the official gazette, adopt Powers of

minimum rates of wages, for such workers or class of workers, or Government to
establishments or class of establishments, as per conditions, as may adopt minimum
be specified in the notification. rates of wages for
unskilled workers,
notify Cost of
(2) Government may by notification in the official gazette, allow
Living Allowance,
cost of living allowance to such workers or class of workers or Dearness
establishments or class of establishments, as per conditions, as may Allowance and
be specified in the notification. Adhoc Relief.

(3) Government may by notification in the official gazette, allow

dearness allowance to such workers or class of workers or

8
establishments or class of establishments, as per conditions, as may
be specified in the notification.

(4) Government may by notification in the official gazette, allow

adhoc relief, to such workers or class of workers, or establishments
or class of establishments, as per conditions, as may be specified in
the notification.

9. (1) Subject only to such deductions as may be authorized under Prohibition to pay
this Act or under any other law for the time being in force, no wages at a rate
employer shall pay any worker wages at a rate lower than the rate below the
declared under this Act to be the minimum rates of wages for such minimum rate of
worker. wages.

(2) Nothing in sub-section (1) shall be deemed -

(a) to require or authorize an employer to reduce the rates of

wages of any worker; or
(b) to affect, in any way, the right of a worker to continue to
receive wages at a rate higher than the minimum rate
declared under this Act if, under any agreement, contract or
award, or as a customary differential, or otherwise, he is
entitled to receive wages at such higher rate, or to continue
to enjoy such amenities and other advantages as are
customary for such worker to enjoy; or

(c) to affect the provisions of the Payment of Wages Act, 1936

(Act No.IV of 1936).
(3) Any employer who contravenes the provisions of this section
shall be punishable with imprisonment for a term which may extend
to six months or with fine which may extend to fifty thousand rupees
but not less than twenty thousand rupees or with both, in addition to
payment of sum not less than the difference in wages actually paid to
the worker and the amount which would have been paid to him had
there been no such contravention.

10. (1) Government may, by notification in the official Gazette, Appointment of

appoint any person to be Authority for any area, specified in the Authority.
notification, to hear and decide all claims arising out of non-
payment, or delay in the payment of wages to workers in that area
whose minimum rates of wages have been declared under the
provisions of this Act.
(2) Where contrary to the provisions of this Act, wages of any
worker have been withheld or delayed, such worker himself or

9
through any other person authorized by him in this behalf, may,
within six months from the day on which such payment was to be
made, apply to the Authority appointed under subsection (1) having
jurisdiction, for an order directing the payment to him of such
wages:
Provided that any such application may be admitted after the
said period of six months but not later than one year from the date on
which the payment was to be made, if the applicant satisfies the
Authority that he had sufficient cause for not making the application
within such period.
(3) When any application under sub-section (2) is entertained,
the Authority shall hear the applicant and the employer or other
person responsible for the payment of wages alleged to have been
withheld or delayed or give them an opportunity of being heard and
after such further inquiry, if any, as may be necessary may, without
prejudice to any other penalty to which such employer or other
person may be liable under section 9 or any other law for the time
being in force direct the employer or such other person to make
payment to the applicant of the wages which have been withheld or
delayed, together, with such penalty, not exceeding ten times the
wages withheld or delayed:

Provided that no direction for the payment of a penalty shall

be made in the case of delayed wages, if the Authority is satisfied
that the delay was due to –

(a) a bona fide error or bona fide dispute as to the amount

payable to the employee; or
(b) the occurrence of any emergency or the existence of
such exceptional circumstances that the person
responsible for the payment of the wages was unable to
make prompt payment ; and

(c) the fault of the worker.

(4) If the Authority hearing any application under this section is

satisfied that no amount to be paid as wages is due from the
employer or other person responsible for the payment of wages to
the applicant, it shall reject the application; and if the application, in
the opinion of the Authority, is malicious or vexatious, the
Authority when rejecting it, may direct the applicant to pay a
penalty not exceeding fifty rupees to the employer or other person

10
responsible for the payment of wages.

(5) Any amount directed to be paid under this section may be

recovered -

(a) if the Authority is a Magistrate, by the Authority, as if it

were a fine imposed by him as a Magistrate; and
(b) if that Authority is not a Magistrate, by any Magistrate
to whom the Authority makes application in this behalf,
as if it were a fine imposed by such Magistrate.

11. (1) An appeal against a direction made or order passed under Appeal.
sub-section (3) or sub-section (4) of section 10 may be preferred to
the Labour Court within thirty days of the date on which the
direction was made or order was passed -
(a) by the employer or other person responsible for the
payment of wages, if the amount directed to be paid as
wages or as wages and penalty exceeds one hundred
rupees;
(b) by a worker, if the total amount of wages claimed to have
been withheld from him exceeds rupees fifty; or
(c) by the person directed under sub-section (4) to pay a
penalty:

Provided that no appeal under this clause shall lie

unless the memorandum of appeal is accompanied by a
certificate of the Authority to the effect that the appellant
has deposited with the Authority the amount payable
under the direction appealed against; or

(2) If there is no appeal, the direction or order of the Authority

made under sub-section (3) or sub-section (4) and where there is an
appeal as provided in sub-section (6), the decision in appeal, shall be
final and shall not in any manner be questioned by any person in any
court or before any authority.

(3) An Authority appointed under sub-section (1) shall, for the

purposes of determining any matter referred to in sub-section (3) or
sub-section (4) of section 10–

(a) have all the powers of a Civil Court under the Code of
Civil Procedure, 1908 (V of 1908), for the purposes of
enforcing the attendance of witnesses, compelling the
production of documents, and the taking of

11
 evidence; and
(b) be deemed to be a Civil Court for all the purposes of
section 195 and Chapter XXXV of the Code of Criminal
Procedure,1898 (V of 1898).

12. (1) The Board, or the Chairperson may, for the purpose of an Power of Board
enquiry under this Act or the rules made thereunder, direct any to collect
employer to furnish such records, documents or information and do information.
such other acts as the Board, or the Chairperson may, as the case
may be, require, and every such employer shall comply with such
direction.

(2) The Chairperson if he deems necessary may exercise all

powers of Inspector for purpose of this Act and may discharge of
any function under this Act or the rules made thereunder -

(a) enter, at all reasonable times, any establishment;

(b) inspect any book, register and other documents relating
to such establishment; and

(c) record statements of persons connected with the working

of such establishment:
Provided that no one shall be required under this
clause to answer any question tending to incriminate
himself.
(3) Any employer, who contravenes the provisions of sub-
section (1), and any person who willfully obstructs anyone in the
exercise of any power under sub-section (2), or fails to produce on
demand there under any book, register or other documents, shall be
punishable with fine which may extend to twenty thousand rupees.
13. The Board shall, while holding an enquiry under this Act or Powers of the
the rules, be deemed to be Civil Court and shall have the same Board to collect
powers as are vested in such Courts under the Code of Civil evidence.
Procedure, 1908(Act V of 1908), in respect of the following matters,
namely:-
(a) enforcing the attendance of any person and
examining him on oath;
(b) compelling the production of documents and material
objects; and
(c) issuing commissions for the examination of
witnesses.
14. An Inspector notified under the Factories Act, 1934 or Shops Inspector.
and Establishments Act,1968 shall also be an Inspector for the

12
purpose of this Act; provided that a Shop inspector shall visit only
those shops and establishments where the number of workers are
nine or less.
15. (1) Whoever willfully obstructs an Inspector in the exercise of Penalty for
any powers under this Act and the rules made there under, or fails to obstructing
produce on demand by an Inspector any register or other document Inspectors.
in his custody, or conceals or prevents any worker in an
establishment from appearing before or being examined by an
Inspector, shall be punishable with imprisonment for a term which
may extend to one month or with a fine which may extend to fifty
thousand rupees but shall not be less than ten thousand rupees or
with both.
(2) In case of subsequent offence, after having been convicted
previously, shall be punishable with simple imprisonment for a term
which may extend to six months but shall not be less than one month
or with a fine of rupees one thousand per day reckoned from the date
of first conviction.
(3) Whosoever contravenes any other section of this Act or the
rules, for which a specific penalty has not been prescribed, shall be
punishable with a fine which may extend to twenty thousand rupees
but shall not be less than five thousand rupees and in case of
subsequent offence, after having been convicted previously, shall be
punishable with fine which may extend to fifty thousand rupees but
shall not be less than ten thousand rupees.

(4) Whosoever discriminate in payment of minimum wages

between male and female shall be punished with a fine which may
extend to fifty thousand rupees but shall not be less than twenty
thousand rupees and in case of subsequent offence, after having been
convicted previously, shall be punishable with fine which may
extend to seventy five thousand rupees but shall not be less than fifty
thousand rupees.

16. No court other than the Labour Court established under the Cognizance of
Sindh Industrial Relations Act, 2013 (Act No.XVI of 2010) shall offences.
take cognizance of offences under this Act shall be except by or with
the previous sanction of the Inspector.

17. The Chairperson, Inspectors, members, officers and servants Public servants.
of the Board shall be deemed to be public servants within the
meaning of section 21 of the Pakistan Penal Code (Act XLV of
1860).

18. No discrimination shall be made on the basis of sex, religion, Protection against
discrimination.

13
political affiliation, sect, colour, caste, creed, ethnic background in
considering and disposing of issues relating to the enforcement of
this Act.

19. If any difficulty arises, in giving effect to any provisions of Removal of

this Act, Government may, by notification in the official Gazette, difficulties.
make such order, not inconsistent with the provisions of this Act, as
may appear to it to be necessary for the purpose of removing the
difficulty.

20. Subject to the provisions of this Act, Government may make Power to make
rules for carrying out the purposes of this Act. rules.

21. (1) The following enactments, to their extent to the Province of Repeal and
Sindh are hereby repealed:- Savings.

(i) Minimum Wages Ordinance, 1961 (Ordinance

No.XXXIX of 1961);
(ii) the Minimum Wages for Unskilled Workers
Ordinance, 1969 (W.P.Ord.No.XX of 1969);
(iii) the Employees Cost of Living Allowance (Relief)
Act, 1973.

(2) The Sindh Employees Special Relief Allowance 1986 and

the Sindh (Payment of Dearness Allowance to Certain Employees)
Act, 1991 (Sindh Act No.II of 1991) are hereby repealed.

(3) Notwithstanding the repeal under sub-sections (1) and (2),

anything done, action taken, rules made and notification or order
issued under the aforesaid Ordinances or Acts, shall, so far as it is
not inconsistent with the provisions of this Act, be deemed to have
been done, taken, made or issued, appointed, constituted, given,
commenced or taken, under this Act, and shall have effect
accordingly.

(4) Any document referring to the repealed Ordinances or Acts

shall be construed as referring to the corresponding provisions of
this Act.
________
BY ORDER OF THE SPEAKER
PROVINCIAL ASSEMBLY OF SINDH

G.M.UMAR FAROOQ
SECRETARY
PROVINCIAL ASSEMBLY OF SINDH

14