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KARACHI: The Public Accounts Committee (PAC) of the Provincial Assembly raised serious concerns over the lack of minimum wage implementation in Sindh, revealing that over 80% of private industrial units were not paying workers the officially notified wage of Rs37,000.
During a PAC meeting on Wednesday, chaired by Nisar Ahmed Khuhro, the committee reviewed audit reports of the Sindh Employees’ Social Security Institution (SESSI) for 2018 and 2019. The committee found widespread violations of labour laws, with most private industries failing to comply with minimum wage implementation in Sindh.
Khuhro directed the provincial labour department and SESSI to ensure strict adherence to the Rs37,000 monthly wage notification across all functioning industrial units in the province.
SESSI Commissioner Miandad Rahujo informed the committee that out of 67,000 industrial units in Sindh, only 24,000 were registered with SESSI. Of these, 6,000 had shut down, leaving 18,000 active units employing more than 800,000 registered workers.
Rahujo admitted that while many units adhered to the wage order, private security companies failed to pay their guards the mandated salary. The PAC chairman also questioned SESSI about internal accountability. The commissioner confirmed that several employees with fake degrees had been dismissed and mentioned that SESSI now uses digital attendance monitoring for its 4,200 staff members.
The PAC meeting also uncovered Rs50 million in bogus payments made through fake repair bills for SESSI-run institutions. The committee instructed the labour secretary to investigate these financial irregularities and submit a detailed report.
PAC Orders Full Audit of Medicine Procurement
Additionally, the PAC ordered a full audit of the Rs9 billion annual medicine procurement for seven hospitals and 42 dispensaries operated by the provincial labour department. The decision followed allegations of corruption in the purchase of low-quality medicine and equipment.
Rahujo noted that SESSI’s healthcare network includes seven hospitals and 42 dispensaries serving industrial workers. Of the institution’s Rs13 billion annual fund, Rs9 billion—nearly 70%—is spent on healthcare services and medicine procurement.
He explained that 70% of medicine purchases are done through tenders, while the remaining 30% are locally procured by SESSI directors, often leading to procurement issues. To improve transparency and efficiency, hospital management committees have been formed, and a Rs1.4 billion infrastructure upgrade for Valika Hospital has been approved, with work scheduled to begin within the year.
The PAC stressed the need for urgent reforms in monitoring wage compliance and financial management to protect labour rights and ensure accountability in public spending.
