Despite its importance, labor rights enforcement and public awareness in Pakistan remain limited. In this article, we unveil 7 surprising facts about labor and employment regulation in Pakistan that reveal both progress made and the pressing challenges that remain.

1. Labor Regulation Isn’t Centralized, It’s Now a Provincial Matter

Since the 18th Constitutional Amendment (2010), labor is no longer a federal subject. Here’s what that means:

• Each province (Punjab, Sindh, Khyber Pakhtunkhwa, Balochistan) has its own labor department, laws, and enforcement mechanisms.
  
• There is no single nationwide labor law governing all Pakistani workers.
  
• The Ministry of Overseas Pakistanis & Human Resource Development (MOPHRD) oversees only federal-level policies such as overseas employment and training initiatives.
  

Why it matters:
Labor rights and protections now vary by province, creating disparities in wages, working conditions, and enforcement. For example, maternity leave entitlements or safety regulations may differ drastically between Punjab and Balochistan.

2. MOPHRD Manages Both Domestic Labor Policy and Overseas Employment

Unlike many countries where overseas workforce affairs are handled separately, in Pakistan, MOPHRD handles both domestic labor development and the welfare of overseas Pakistanis. It oversees:

• Bureau of Emigration & Overseas Employment (BEOE) – Regulates recruiting agencies and oversees legal job migration.
  
• Overseas Employment Corporation (OEC) – Connects Pakistani workers to international opportunities, especially in the Middle East, South Korea, and Europe.
  

Why it matters:
Over 10 million Pakistanis are employed abroad, sending back billions in remittances annually. MOPHRD plays a key role in ensuring their legal placement, fair treatment, and welfare abroad—a function crucial to Pakistan’s economy.

3. There Is a National Minimum Wage, But It’s Rarely Enforced

Pakistan’s minimum wage is updated annually, but wage compliance remains poor, especially in the informal sector.

• Punjab & Sindh recently raised the minimum wage to Rs. 32,000/month.
  
• Still, millions of workers—like daily wagers, domestic help, and factory workers—earn well below the legal minimum.
  

Over 70% of Pakistan’s workforce is informal, often working without contracts, social protections, or legal wage guarantees.

Why it matters:
The existence of a minimum wage law does little if labor inspections are weak and workers are unaware of their rights. Wage theft is rampant, especially in sectors where employers are rarely held accountable.

4. Pakistan Is a Member of the ILO, But Struggles with Implementation

Pakistan has ratified 36 conventions under the International Labour Organization (ILO), including:

• Right to Organize (C87)
  
• Equal Remuneration (C100)
  
• Elimination of Child Labor (C182)
  

While these agreements look good on paper, their practical enforcement is minimal due to:

• Institutional weaknesses
  
• Inadequate labor inspections
  
• Low legal literacy among workers
  
• Employer resistance and political influence
  

Why it matters:
Failure to enforce these conventions not only harms workers, it can also hurt Pakistan’s global trade relations, particularly with the EU under the GSP+ status, which is conditional on labor rights compliance.

5. Child Labor Laws Exist, But Millions of Children Still Work

Despite national and provincial laws prohibiting child labor, UNICEF estimates that 3.3 million children in Pakistan are still working, often in dangerous or exploitative conditions.

• Common sectors include brick kilns, agriculture, domestic work, and workshops.
  
• Children as young as 7 are exposed to physical and psychological harm.
  
• The Employment of Children Act, 1991, and other provincial laws ban hazardous work for those under 14, but enforcement is weak.
  

Why it matters:
Child labor keeps children out of school and traps families in poverty cycles. It’s a violation of human rights and paints a bleak image of Pakistan’s social development to the global community.

6. Labor Courts Exist But Few Workers Get Justice

Each province has its own labor courts and tribunals meant to resolve disputes such as:

• Unfair dismissal
  
• Workplace harassment
  
• Wage recovery
  
• Occupational injuries
  

However, these courts suffer from:

• Overburdened dockets and years-long delays
  
• Poor enforcement of court orders
  
• Limited legal access for low-income workers
  

A dismissed worker could wait 2–3 years for a verdict that might never be enforced due to a lack of follow-up or pressure from influential employers.

Why it matters:
Legal recourse exists, but is often inaccessible to the average worker. Justice delayed—and denied—is common, especially for those in informal jobs.

7. Women in the Workforce Still Face Discrimination and Danger

Despite legal protections, only about 20–25% of Pakistani women participate in the formal labor force. Many faces:

• Workplace harassment and a lack of reporting mechanisms
  
• Cultural restrictions that discourage female employment
  
• Insufficient maternity benefits and transport options
  

The Protection Against Harassment of Women at the Workplace Act (2010) was a breakthrough, but many women:

• Don’t know the law existed
  
• Fear retaliation if they file complaints
  
• Work in small companies with no compliance committees
  

Why it matters:
Increasing women’s workforce participation could boost GDP significantly. But deep-rooted societal norms and weak implementation continue to hold back half the country’s potential.

Final Thoughts: A System with Strong Potential—but Serious Gaps

Pakistan’s labor framework—spread across MOPHRD and provincial departments—is built on progressive laws and international commitments. But without effective implementation, inspection, and enforcement, these laws fail to protect the millions they were meant to serve.

What Needs to Happen:

• Increase funding and capacity for labor inspections
  
• Launch awareness campaigns for workers’ rights
  
• Strengthen and digitize reporting and complaint systems
  
• Hold exploitative employers accountable
  
• Encourage collective bargaining and unionization
  

Pakistan doesn’t need new laws—it needs to make existing laws work. The future of over 70 million workers depends on it.