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Published 20 Apr, 2014 07:28am

Draft labour policy

APROPOS the news report ‘Anomalies in labour policy draft pointed out’ (April 11), it is mentioned: “It recognises the right of employer to hire and fire but with the proviso that letters of appointment are institutionalised and due procedure is followed for ‘firing’, including prior consultation with the shop steward and/or CBA as well as notice to the employee.”

The Industrial and Commercial Employment (Standing Orders) Ordinance, 1968, covers both the above matters. However, there are huge gaps in implementation.

For instance, the Standing Order 2-A, introduced in 1973, provides: “Every workman at the time of his appointment, transfer or promotion shall be provided with an order in writing, showing the terms and conditions of his service”.

In reality, only progressive employers observe this law. The majority does not for fear of the workmen dragging them to court in case of termination of their employment.

Employers wrongly believe they can’t fire an unwilling workman. On the contrary, the Standing Orders (SO) Ordinance about the termination of services prescribes at least three situations in which the services of a workman may be terminated: (a) SO 11-A: Retrenchment of workmen in case of closure of an establishment due to reasons beyond the employer’s control.

(b) SO 12: Termination of a workman’s services for any reason other than misconduct by giving him one month’s notice or salary in lieu thereof.

(c) SO 15: Dismissal from employment in case the workman is found guilty of misconduct.

In this situation a domestic inquiry is held by the employer to provide him an opportunity to produce his defence. The workman is permitted by law to nominate anyone of his colleagues to assist him during the inquiry.

Professionally managed organisations follow the above rules but companies run on employers’ whims flout the laws and agitate on its repercussions.

Employers expect the government to facilitate them in the smooth functioning of their operations but in the labour policy under reference introducing conditions such as “prior consultation with the shop steward and/or CBA, in case of ‘firing’” will make it almost impossible for an employer to terminate the services of his workmen as the union will never want to lose its electorate.

Parvez Rahim
Karachi

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