90% of registered workers denied benefits: PILER demands universal social security coverage

KARACHI: The Pakistan Institute of Labour Education and Research (PILER) hosted a seminar titled “Towards inclusive social security: challenges and the way forward” at Karachi Press Club on Friday, bringing together social security experts, trade union leaders, and government officials to address critical gaps in worker protection across Sindh province.
The seminar focused on the urgent need to expand social security coverage beyond formal sector workers to include vulnerable groups such as home-based workers and those in the informal economy who currently remain outside the protection of existing schemes.
Abbas Haider, Director of PILER, emphasized, “While 800,000 workers are registered with SESSI, only 80,000 actually avail the facility due to lack of awareness and employment contracts. Home-based and platform workers cannot afford the Rs2,400 self-contribution. We need to change the registration formula and address corruption and political appointments within SESSI.”
Waseem Jamal, Director Public Relations at SESSI, admitted, “Our law limits coverage to those earning less than minimum wage, excluding skilled workers. Other provinces have amended their laws, but Sindh must amend its Act. We’ve launched a mobile app for real-time verification of contributions, and our hospitals provide full medical coverage with no cost limits. Home-based workers need a dedicated fund for contributions.”
Athar Shah, Director-General of the Shops and Establishment Labour Division, stated, “Workers have strong legal protections, but implementation remains elusive. We must reinterpret the definition of ‘worker’ so that anyone who works is covered by law, and promote awareness and unionization.”
Shamim Ali, PILER representative, highlighted, “Women workers face significant barriers in accessing labour laws and social security. Stakeholders must include women-friendly policies in their reform efforts, and employers need proper training on these matters.”
Habibuddin Junaidi, President of the People’s Labour Bureau, stressed, “Economic burdens have forced workers to focus solely on survival.
The speakers collectively presented a set of 10 recommendations aimed at transforming the SESSI into a more inclusive, transparent, and effective system that serves all categories of workers.
Key recommendations:
1. Universal coverage: Demand social security for all by extending its coverage to all working people. To materialize this task, a high-level taskforce headed by credible economists, labour support organizations, and trade unionists may immediately be constituted.
2. Standardized registration criteria: The baseline criteria for the registration of workers with SESSI should be similar to other provinces (Minimum wage + 50%).
3. Implementation of legal amendments: The amendment made in Section 27(A) of the Sindh Social Security Act 1965 should be implemented, and the rules pertaining to the change should be developed.
4. Home-based worker registration: The government should facilitate the registration of home-based workers, similar to its BISP program.
5. Merit-based administration: Immediately stop political hiring and transfers in SESSI. The institution should be run purely on merit and in a professional manner.
6. Expanded infrastructure: New hospitals and dispensaries should be established to increase facilities, particularly near industrial areas and residential areas of workers.
7. Strengthened governance: SESSI governing body should be strengthened with genuine representatives of workers and employers strictly in accordance with the law, and all decisions of the Governing Body should be made public and implemented.
8. Transparency and accountability: High-level transparency and accountability should be established at all levels in SESSI.
9. Worker awareness campaign: A massive awareness campaign should be initiated to inform workers about various benefits offered by the scheme.
10. Regional monitoring: Regional Monitoring Committees comprising representatives of employers, workers, and labour support organizations should be established to ensure timely and quality services extended to eligible workers, particularly in SESSI-run hospitals.
The participants called upon the Sindh government to take immediate action on these recommendations to ensure that social protection reaches all workers in the province, particularly vulnerable groups who have historically been excluded from formal social security coverage.