HRM relationship with LABOUR LAWS

Whether you hire your own employees or independent contractors, you will need to have a solid
understanding of federal and state labor laws covering everything from benefits and wages to
discrimination and harassment. The HR management function of labor employee relation with relation to
labour laws has four stages. It starts by setting basic employee relations philosophy coherent with that of
organization. Then in Growth stage: maintains labor, peace and employee motivation. Followed by
Maturity stage: Where controlling labor costs and maintaining labor peace is important. And, Finally in
decline stage: Maintaining labor peace. This important HR function has to be strictly coherent with the
labor laws.

CONSTITUTIONAL LABOUR LAWS

Unlike other laws in Pakistan, labor laws are less homogenous, ineffective, lack content and are old.
Moreover, labour law deals with the statutory requirements and collective relationships that holds
significance in mass production societies, the legal relationships between organized economic interests
and the state, and the various rights and obligations related to some types of some social services.

Our constitution contains various provisions with regards to labour rights.Article 11 : prohibits all forms of
slavery, forced labour and child labour; Article 17 : right to exercise the freedom of association and the
right to form unions; Article 18 : right of its citizens to enter upon any lawful profession or occupation and
to conduct any lawful trade or business; Article 25 : right to equality before the law and prohibition of
discrimination on the grounds of sex alone; Article 37(e) : just and humane conditions of work, ensuring
that children and women are not employed in vocations unsuited to their age or sex, and maternity
benefits .
In addition to this, there are other points which are part of the constitution. Mainly these include:Labour
legislation, contract of employment,working hours, paid leave, protection of young worker, strikes and
lockouts, labour court..etc.

ISSUES IN 2009 & 2010

On 5th march 2010, The new bill enables employees to take their disputes to the Labour Court, Labour
Appellate Tribunal and the National Industrial Relations Commission (NIRC) . The government has
prepared plans to build 80,000 housing units for the labour, enhanced the minimum wage to Rs6,000 and
workers’ share in profit and increased the amount of marriage grants for all workers. Also , the dictatorial
labour laws of 2002 will be repealed and a new labour policy will be announced soon. However, the
working conditions in the industry in Punjab have deteriorated ever since the abolition of labour
inspections almost seven years ago. Inspections were stopped following an executive order issued under
the provisions of the Punjab Industrial Policy, 2003.
MULTINATIONALS, NATIONAL AND COTTAGE INDUSTRIES
An employee, by the very nature of the employment relationship, must be subject to some level of
monitoring by the employer.Espically in multinationals or groups like Engro where women harassment
unit is being that , but besides HR department is rarely found in domestic industries where masses work.
This mostly being operated by beuractic systems and are less aware of the laws for labour and labour too
cant do anything about it- courtesy our judicial system.

Appendix
 www.labourunity.org/labourlaws.htm
 www.dawn.com
 List of links about labor laws : http://www.scribd.com/Links-About-Labour-Laws-in-
Pakistan/d/6689407
 Storey Sisson(1993,p.61)

Tax Rate
 Taxable income Rate of tax.
S. No.
1. Where taxable income does not exceed Rs.180,000 0%
2. Where the taxable income exceeds Rs.180,000 but does not exceed 0.50%
Rs.250,000
3. Where the taxable income exceeds Rs.250,000 but does not exceed 0.75%
Rs.350,000
4. Where the taxable income exceeds Rs.350,000 but does not exceed 1.50%
Rs.400,000
5. Where the taxable income exceeds Rs.400,000 but does not exceed 2.50%
Rs.450,000
6. Where the taxable income exceeds Rs.450,000 but does not exceed 3.50%
Rs.550,000
7. Where the taxable income exceeds Rs.550,000 but does not exceed 4.50%
Rs.650,000
8. Where the taxable income exceeds Rs.650,000 but does not exceed 6.00%
Rs.750,000,
9. Where the taxable income exceeds Rs.750,000 but does not exceed 7.50%
Rs.900,000,
10. Where the taxable income exceeds Rs.900,000 but does not exceed 9.00%
Rs.10,50,000,
11. Where the taxable income exceeds Rs.10,50,000 but does not 10.00%
exceed Rs.12,00,000,
12. Where the taxable income exceeds Rs.12,00,000 but does not 11.00%
exceed Rs.14,50,000,
13. Where the taxable income exceeds Rs.14,50,000 but does not 12.50%
exceed Rs.17,00,000,
14. Where the taxable income exceeds Rs.17,00,000 but does not 14.00%
exceed Rs.19,50,000,
15. Where the taxable income exceeds Rs.19,50,000 but does not 15.00%
exceed Rs.22,50,000,
16. Where the taxable income exceeds Rs.22,50,000 but does not 16.00%
exceed Rs.28,50,000,
17. Where the taxable income exceeds Rs.28,50,000 but does not 17.50%
exceed Rs.35,50,000,
18. Where the taxable income exceeds Rs.35,50,000 but does not 18.50%
exceed Rs.45,50,000,
19. Where the taxable income exceeds Rs.45,50,000 but does not 19.00%
exceed Rs.86,50,000,
20. Where the taxable income exceeds Rs.86,50,000 20.00%