Employee Benefits in Pakistan

The Pakistan workers’ rights and benefits are governed by the following laws:

  • Workmen Compensation Act 1923 – applicable to all entities employing ten or more workers
  • Provincial Employees Social Security Ordinance 1965 – applied to permanent, daily wages, contract and contractor employees
  • West Pakistan Industrial and Commercial Employment Ordinance 1968 – for industrial/commercial entities employing fifty or more employees in a period exceeding 12 months

There are a number of benefits offered to workers within Pakistan, regardless of their nationality and citizenship. All employees are required to obtain the relevant legal documents in order to lawfully reside and engage in employment in the country.

The following is a brief outline of the basic benefits offered to employees working in Pakistan:

Annual Paid Leave

Depending on the type of establishment you work at, individuals are entitled to annual paid leave ranging between 10-15 days. This is in addition to the 12-13 days annual festival holidays you are entitled to.

Working Hours

Individuals employed within Pakistan are required to work an average of 48 hours per week; however this figure may differ for factory workers. With the overtime obligation for a number of workers, they may be required to work 60 hours per week, with daily hours mounting up to 12 hours.

Health and Sickness Benefits

An individual who has worked for 90 days in the last 6 months is qualified for sickness benefits from their employer. In the event that the individual suffers from tuberculosis or cancer, they are entitled to 100% of their wages, whilst other illnesses receive 60% - 75% of the total wages for the period of a year.

Maternity Benefits

There are four different laws that govern maternity benefits in Pakistan: The Mines Maternity Benefits Act (1941), The West Pakistan Maternity Benefit Ordinance (1958), The Provincial Employees Social Security Ordinance (1965) and Revised Leave Rules (1980). The maternity leave is dependent upon the law; however each individual is entitled to receive a minimum of 12 weeks (84 days) full maternity leave from their employer.