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SESSI Raising of Social Security Contribution and Coverage Limit in Province of Sindh

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Date: 22-10-2018

Circular Number: C-181

SESSI Raising of Social Security Contribution and Coverage Limit in Province of Sindh

  1. The minimum wage of unskilled workers has been raised to Rs. 16,200/= p.m. or Rs. 625/= per day w.e.f. 01-07-2018 as per the provisions of the Sindh Minimum Wages Act, 2015 (see our circular http://www.smyaqoob.com/c180.html ).

  2. Said amendment in the Minimum Wages will also raise the contribution and coverage limit of SESSI as per newly amended section 75 by Sindh Employees Social Security (Amendment) Act, 2018 notified in the Sindh Govt. Gazette dated 17-5-2018 made applicable from 17-5-2018 (see our circular http://www.smyaqoob.com/C179.HTML ).

  3. By adding the new Minimum Wages, now the lower wage limit shall be Rs. 16,200/= p.m. and upper wage limit shall be Rs. 21,200/= p.m. It means that now the employee whose wages are up to Rs. 21,200/= per month are covered but contribution shall be paid on the Minimum Wages i.e. Rs. 16,200/= per month per employee.
  1. Employees paid monthly wages above Rs. 21,200/= p.m. since prior to the said amendment in Minimum Wages shall continue to be uncovered by the Sindh Social Security Act, 2016.
  1. Arrears of contribution shall be payable to the Social Security Institution from 01-07-2018.

For further details if required, you may consult your labour laws consultant.

For M/s S. M. Yaqoob