Pakistan’s Labor Crisis: exploitation, Austerity, and the Fight for Dignity
Pakistan’s workforce is facing a deepening crisis of exploitation, exacerbated by economic austerity measures and a systemic lack of labour protections. From gig workers to sanitation staff, textile labourers to digital freelancers, millions are trapped in precarious employment, earning below minimum wage and facing systemic abuse.This article examines the extent of the problem, the factors driving it, and potential pathways towards a more just and equitable future for Pakistani workers.
A Systemic Crisis of Exploitation
A 2023 report by the Pakistan Institute of Labour Education & Research (Piler) paints a grim picture: a significant portion of the workforce, particularly the rapidly growing number of gig workers, are entirely excluded from basic labour protections. This leaves them vulnerable to exploitation, with limited recourse for fair wages or safe working conditions.
The plight of Pakistani workers is often highlighted through sporadic social media campaigns and at forums hosted by labour lobbies and the Human Rights Commission of Pakistan (HRCP), but these efforts have yielded little tangible change. Demonstrations, such as the May Day rallies organized by the Pakistan Trade Union Defence Campaign demanding an end to outsourcing and IMF-driven austerity, are frequently met with police repression rather than constructive policy dialog, as reported by Dawn.
Beyond the Gig Economy: Widespread Wage Theft and Abuse
Exploitation isn’t confined to the gig economy. Karachi’s sanitation workers, such as, earn a monthly wage of Rs25,000 – a staggering 33% below the federal minimum wage. Many are forced to walk up to 20km daily to avoid transport costs, highlighting the extreme lengths to which they must go to earn a basic living.
The Sindh Solid Waste Management Board is systematically underpaying it’s 20,000 workers by approximately Rs17,000 each month, amounting to a staggering Rs2.4 billion in annual wage theft. This issue has been repeatedly documented by credible mainstream media outlets. Contract workers face arbitrary termination for raising concerns, and female domestic workers are particularly vulnerable, with limited avenues for redress in cases of exploitation or harassment.
Textile Industry: A Hotbed of Labour Violations
The textile industry, a major contributor to Pakistan’s economy, is rife with labour abuses. home-based women stitchers earn as little as Rs2-4 per piece,with no visibility into the international brands that ultimately profit from their labour. Labour Behind the Label’s 2023 report sheds light on these hidden costs of fast fashion. A Piler report from the same year reveals that 95% of factories routinely violate labour laws,ignoring minimum wage regulations,denying maternity leave,and illegally terminating pregnant workers.
The Role of State policy and IMF Austerity
State policy actively contributes to this crisis. While offering tax amnesties and energy subsidies to industrial elites, the government concurrently implements austerity measures dictated by the International Monetary Fund (IMF), slashing vital social spending.
Public sector enterprises continue to incur substantial losses annually, while crucial sectors like education and health receive inadequate budget allocations.The HRCP estimates that a family of six requires Rs75,000 monthly to maintain a basic standard of living. Despite this, demands to raise the minimum wage to this level are ignored, while billions of rupees are allocated to luxury vehicles for political VVIPs and senior government officials.
The Precarious future of Digital Freelancing
even the burgeoning digital freelancing sector, often touted as Pakistan’s economic future, is plagued by inequities. While 2 million freelancers generate over $400 million annually, they face payment delays, arbitrary account bans on platforms, and exclusion from established global payment systems. The lack of regulation for platforms like Fiverr and Upwork leaves workers vulnerable to opaque algorithms and unfair practices.
towards a More Just Future for Pakistani Workers
Addressing this crisis requires a essential dismantling of the current extractive system. Immediate steps must include:
Enforcement of the ICT Platform Workers Bill: Ensuring the bill is implemented in both letter and spirit to provide protections for gig workers.
Criminalization of Wage Theft: Holding employers accountable for deliberately underpaying or withholding wages.
Abolition of Exploitative Contracting: Eliminating practices that allow for the systematic abuse of contract workers.
Promoting Worker cooperatives: Supporting the growth of worker cooperatives in sectors like textiles and agriculture to democratize production and empower workers.
* Reframing Labour as Value Creation: Public awareness campaigns are needed to shift the narrative around labour,recognizing it as a source of value rather than simply a cost.
The future of Pakistan’s workforce depends on a commitment to prioritizing the dignity and rights of
