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A convention of the Pakistan Sugar Mills Workers (PSMW) condemned categorically the contract and daily wage system practiced by millers, which contravenes national labour laws and decisions by the judiciary.
The convention noted that the system has been adopted by many owners, employers, and management of the sugar mills, and that it restricts workers’ legal rights.
Hiring workers through a contractor is an illegal practice in the country, said an IUF source. The country’s superior court has ruled that workers in any establishment are the employees of the principle employer, making it illegal for main employers to avoid labour responsibilities with the workers.
The convention, organised by the organised by the Sindh chapter of PSMW, was held on 6 June in Hyderabad, and was attended by delegates from different sugar mills. The convention also concluded that government policies do not support the implementation of labour laws in the country, and that the workers need to strengthen their unions and federation as the main way to secure their rights and their fair share in the profits made by the sector.
The convention’s delegates adopted several resolutions, including the demands on the abolition of the contract and daily wage systems, regularisation of services, reinstatement of workers whose jobs were terminated at the Army Welfare Sugar Mills Badin, as well as the reinstatement of these workers’ bonuses and other legal benefits. The delegates also demanded unrestricted exercise of union activities in all sugar mills.
In related news, the Ministry of Food and Agriculture and Livestock (MINFAL) said in early April that Pakistan counts with 77 sugar mills, with a combined total production capacity of 7.1 million tonnes of sugar per year; about twice as much as the country’s current output of 3.8 million tonnes. The MINFAL said it is a major challenge for the industry is the high volume of water required for cane cultivation, particularly in the country’s main cane growing areas of Punjab, Sindh and NWFP where water is scarce. In addition, MINFAL said, the usually depressed international sugar prices create a stiff competition for local production.