EFP rejects EOBI demand

Karachi

Majyd Aziz, President Employers’ Federation of Pakistan has rejected the grossly illegal, misconceived and ill- intended notice sent by the Regional Head of EOBI demanding employers to contribute at the revised rate of Rs 780 per employee per month instead of Rs 480. He added that it has become a norm for labor welfare organizations to arbitrarily issue notifications that are unwarranted and negatively impacting on industrial development in Pakistan.
Majyd Aziz informed that Employers’ Federation of Pakistan has challenged the notification in the High Courts of Lahore, Sindh, Baluchistan, KPK and Islamabad, as a result of which stay orders were issued against this notification by all the Honorable High Courts. In fact, the Honorable High Court of Lahore finally disposed of the petition by declaring the EOBI notification as illegal and ultra vires. He added that the interim Stay Order against this notification still continues in High Courts of Sindh, Baluchistan, and KPK. The EFP’s member companies have, however, been advised to continue paying the contribution @ Rs. 480/-.
The EFP President further said that EOBI, however, seems to have paid no heed to the Stay Orders issued by the Honorable High Courts and continues to demand companies to pay contribution at the enhanced rate through the EOBI web facilitation system which is in contempt and defiance of the Stay Orders. EFP Members have therefore been advised to continue paying contribution @ Rs. 480/- per employee per month through manual system, if the EOBI web facilitation refuses to accept the payment.
Majyd Aziz moreover advised EOBI to comply with the legal provision in accordance with the prevailing law and the Stay Orders of the respective High Courts in the province of Sindh, Punjab, Baluchistan, and KPK. EOBI is further advised to refrain from misguiding the employers’ to pay contribution at an enhanced rate for which no provision exists, either in the repealed Federal Ordinance or the newly enacted Sindh EOB Act 2015.
Majyd Aziz has also advised the Chairman of EOBI to issue directives to his subordinates to comply with the law and immediately withdraw the illegal.—PR

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