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†††† Circular No.C Ė 153†††††††††††††††††††††††††††††††††††† ††††††† Date: 04-02-2015



The Order dated 24-10-2014 of the Lahore High Court

Suspending the increase in the Social Security contribution

on wages upto Rs. 18000/=p.m. or Rs.750/=per day in Punjab



1-                 Using arbitrarily powers under section 71 of the P.E. Social Security Ordinance, 1965 the Punjab Govt vide itís notification dated 12-08-2014 has increased the wage limit for contribution on wages upto Rs.18000/= p.m. or Rs.750/= per day and itís legality has been challenged in the Const. Pet. No. 28332/2014 before the Lahore High Court, which has been admitted for regular hearing along with a similar Const. Pet. No. 27503/2014 suspending the said notification dated 12-08-2014 and ordered to pay contribution to the Institution as before the said amendment dated 12-08-2014.


2-                 The petition and order thereon of the Lahore High Court would have itís effect and consequences in the other provinces and similarly challenging amendment/notification by establishments of the other provinces having strong legal position in their favour in view of the above orders of the Lahore High Court.


3-                 It may be noted that a similar notification dated 28-10-2013 of the Sindh Govt raising wage limit to Rs. 15000/= p.m. for contribution has been challenged in the Const.No.D-1036/2014 filed by Employers Federation of Pakistan in the Sindh High Court which has restrained vide itís order dated 13-03-2014 from paying contribution on wages upto Rs. 15000/= p.m. (Ref. our Circular No. C-145 dated 20-03-2014)†††


Pleased note the above and act accordingly.



†† ††††For M/s. S. M. Yaqoob

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