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Compensation

Overtime Compensation

In accordance with the section 47 of Factories Act, 1934; if a worker works beyond the stipulated working hours, i.e., 9 hours a day and 48 hours a week, he is entitled to an overtime pay that is double the rate of his ordinary pay (200% of the normal wage rate). In seasonal factories, workers may work up to 56 hours a week.

Night Work Compensation

There is no special pay premium for employees working over night.

Compensatory Holidays / Rest Days

Workers can be asked to work on weekly rest days and Festival/Public Holidays. The law does provides for compensatory holidays. (Section 35, 49-I of Factories Act)

Weekend / Public Holiday Work Compensation

There is no provision for premium pay for woring on a weekly rest day however if an employee works on a public holiday , he is paid at 300% of the rate of his normal wages (normal wage for working on public holiday + paid substitute holiday + one day's paid compensatory holiday).  (section 49-I of Factories Act)

Regulations on Compensation

  • Factories Act, 1934
  • The Payment of Wages Act, 1936
  • The West Pakistan Shops and Establishments Ordinance, 1969
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