Last Updated: Tuesday April 17, 2007
Special Provisions for Undertakings Operating for a Part of Year
S.R.O. 320(I)/71.---18th August, 1971.---In exercise of the powers conferred by paragraph 14 of the Schedule to the Companies’ Profits (Workers’ Participation) Act, 1968 (XII of 1968), the Federal Government is pleased to make the following special provisions for the participation of workers in the profits of companies engaged in the following industrial undertakings which operate only for a part of the year, namely:---
1. For the purpose of clause (f) of section 2 of the aforesaid Act and paragraph 3 of the Schedule thereto, a worker of an industrial undertaking engaged in manufacturing of sugar, ginning of cotton or processing of tobacco to which paragraph 1 of the said Schedule applies shall be deemed to have completed six months of continuous employment with the company, and be eligible to the benefits of the Scheme, if he is in continuous employment of the industrial undertaking for not less than half of the period for which the undertaking has operated in a year of account.
2. For the purpose of disbursement of benefits to workers in accordance with paragraph 5 of the said Schedule, a worker of an industrial undertaking which is not in continuous operation for the whole of a year shall be credited,---
(a) with a year of continuous employment if he has been in continuous employment with that undertaking for the entire period for which it has operated in the year of account; and
(b) with such period of continuous employment as that period bears to the period he continuously worked with the undertaking, the same proportion as a whole year bears to the total period for which the undertaking operated during a year of account. (Gaz. of Pak., Extr., 20th Agusut, 1971).
3. The benefits of the scheme are in addition to any other benefits to which the worker may be entitled under any other law, contract, terms and conditions of employment or otherwise.
4. The sum received by a worker out of a workers participation Fund exempted from the tax leviable under the Income Tax Ordinance, 1979. (S.R.O. 1557(I)/72 of Nov. 5, 1973, Gaz. of Pak., Extr., Pt. II, Nov. 7, 1973, P. 2287).
The Companies’
Profits (Workers’ Participation) Act, 1968
The Schedule
(Scheme) [See section 2(e)]
The Companies’
Profits (Workers’ Participation) Rules, 1971
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