INDUSTRIAL RELATIONS AND

LABOUR LAW
MHRM-S-F18

Report on study of industrial relations in an

organization
Report presented to: Mam Noor Tariq
Presented by:
 Usman Nasir 63
 Masab Hussain 114
 Aiman Usman 65
 Minha khan 75
 Simran Imran 62
 Afifa zulfiqar 90
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Table of Content
Acknowledgement…………………………………………………………………………………………………………………………………..3

Important terminology ……………………………………………………………………………………………………………………………4

Objectives ……………………………………………………………………………………………………………………………………………….5

Introduction ……………………………………………………………………………………………………………………………………………6

Organogram…………………………………………………………………………………………………………………………………………….7

Vision of the University of the Punjab ...................................................................................................... 8

Mission of the University of the Punjab .................................................................................................... 8
HR LINKAGE WITH IR……………………………………………………………………………………………………………………………….9

Trade unions ……………………………………………………………………………………………………………………………………….11

Criteria for membership ............................................................................................................................. 14

Grieviences Handling .................................................................................................................................. 14
Complaint Management System................................................................................................................. 14
Employees…………………………………………………………………………………………………………………………………………….16

Pay scale ……………………………………………………………………………………………………………………………………………….17

Allowances…………………………………………………………………………………………………………………………………………..19

Leaves………………………………………………………………………………………………………………………………………………….21

Ticket no………………………………………………………………………………………………………………………………………………25

Prevalence of Disable Person Ordinance 1981: .......................................................................................... 26

Anaylsis………………………………………………………………………………………………………………………………………………….28

Suggestions……………………………………………………………………………………………………………………………………………29
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ACKNOWLEDGEMENT

No work is considered complete unless due indebtedness is expre3ssed to all those, who made
the work successful, concentration, dedication, hard work, are essential. Our project could not
be possible without the guidance, assistance of our lecturer Mam Noor Tariq.

We would like to express our gratitude Ms. Noor Tariq who gave us an opportunity by
assigning a project that would help us get to know about organization and labor laws.
(Industrial Relation) which helped us in doing a lot of Research and we came to know about
organizations and laws implemented in those organization,

And special thanks to MR. for providing us information and by answering those questions.
And making our report more thoroughly and completely.
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Important terminology

BOD Board of directors

PU University of the Punjab
CBA Collective Bargaining agent
HRM Human resource management
NIRC National industrial relation commission
DPO Disabled person ordinance
IR Industrial Relation
IRA industrial relation act
ORG organization
 5

Objective of this study:

 To find the relationship in and between different institutional

levels
 To assess the relationship between employees, teachers other staff.
 To assess the relation between union, CBA and employees
 To offer suggestions by assessing the industrial relations.
 To promote and develop congenial relations between employees
and employers.

Scope of the study

 Collective relationship between trade unions and management.

 Relationship among employees and employers within the university.

Data collection method and tools

Primary data

The primary data has been collected from the employees. This data helps most for the
completion of the study by providing full and direct information, which needs some
interpretation and analysis to attain the objective of the study.

Personal interview

The employees were interviewed personally to get the desired Reponses by asking questions, and
those responses were noted.
 6

University of the Punjab

Introduction
The University of Punjab also referred to as Punjab University, is
a public research university located in Lahore, Punjab, Pakistan. Punjab University
is the oldest public university in Pakistan. With multiple campuses
in Gujranwala, Jhelum, and Khanspur, the university was formally established by
the British Government after convening the first meeting for establishing higher
education institutions in October 1882 at Simla.. Punjab University was the fourth
university to be established by the British colonial authorities in the Indian
subcontinent; the first three universities were established in other parts of British
India.

There are 45,678 Students (27,907 Morning Students, 16,552 Evening Students
and 1,219 Diploma Students) who attend the university, and Punjab University has
a total of 13 faculties within which there are 83 academic departments, research
centers, and institutes. Punjab University has ranked first among large-sized
multiple faculty universities by the HEC in 2012.There are also two Nobel
Laureates among the university's alumni and former staff. Additionally, the
university is also a member of the Association of Commonwealth Universities of
the United Kingdom. In the recently issued rankings of Asian universities by QS
World Universities Rankings, Punjab University jumped from the 232nd to 193rd
position, improving its position by 39 places. Punjab University also ranks 251-300
in the subject of Agriculture and Forestry, 501-550 in the subject of Physics &
Astronomy and 501-550 in the subject of Chemistry according to QS World
University Rankings by Subject 2019.
 7

Organogram
 8

Vision of the University of the Punjab

Punjab University intends to be a leading public university in providing affordable

educational opportunities to develop scientific, socio-cultural, economic and
political leadership, through learner-centered teaching and research, while
strengthening our identity at National and International level.

Mission of the University of the Punjab

Our mission is to provide a holistic education as such an approach has a twofold

benefit. The first is that young people are nurtured to be sensitive, tolerant, humane
and capable of thinking in a creative and critical way. The second is, that armed
with a sense of history and equipped with knowledge and expertise, the graduates
whom we send out into the world are in a better position to develop their leadership
potential and make a positive contribution to public life. We hope that
understanding as they do, their role in the wider community of human kind and
responsible to it, their action and attitudes will reflect their education.

Chancellor Chaudhry Mohammad Sarwar

Vice-Chancellor
Dr Niaz Ahmad (SI)
 9

HUMAN RESOURCE AND INDUSTRIAL RELATION

Human Resource & Industrial Relation department is a backbone for every

organization. No organization can work without the labor force. If the labor of
an organization is satisfied the product quality of that organization will also be
satisfactory the organization will perform effectively and efficiently and will
be able to serve its customer very well. In the renowned University of Pakistan
IRL and HR are two different departments. The linkage between them comes
in practical when any
Ambiguity arises and they don’t tend to participate in each other matters but
are there in the hour of need.
If the labor of the organization is not satisfied with it then its performance and
quality suffer very badly. To ensure the satisfaction of its labor force and to
provide the organization with the powerful and relevant workers, every
organization needs a very powerful Human Resource Management, and Industrial
Relation Management to keep an eye on the issues related to Labor. And these two
departments also very helpful to motivate labor of the organization.

LINKAGE OF HR WITH IR

Also it acts as a recruiting manager, the Union leaders interfere with the
recruitment and selection of the company, its intention is to maximize the number
of employees an employer can hire.

1. Recruitment

 Successfully completed the project on “Recruitment Need Assessment” of

the organization
 Development of Recruitment Ads
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 CV’s short listing & Interviewing

 Refresh Job Descriptions data with emphasis on Job Specifications to target
competencies while selection

2. Training & Development

 Coordinated various training programs in the organization conducted by

local & foreign trainers
 Conducted “Employees Survey” in the organization which is an important
area of organization development.

3. Performance Management

 Conducted Performance Appraisal for the company by Developing &

Distributing the Performance Appraisal forms.
 Developed SOP’s (Standing Operating Procedures) of HR staff, which is a
key to check the performance with standards

4. Law & Labor Relations

 Carried out a study to overview Industrial Relations prevailing in the

organization with major emphasis on the Labor Laws
 Get comprehensive knowledge of trade unions in the organization
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TRADE UNIONS

There are 3 associations in the University of the Punjab.

 ASA Academic staff association

This is the faculty member association. There are total 1306 faculty members
in university which include 1086 teachers, 150 A class faculty and 70
librarians. All faculty problems are solved by ASA union.
 Welfare association
This association is based on non-faculty members that have ranked BS 17 and
above.
 Administrative and technical staff association
This association is based on non-faculty staff that have ranked BS 1 BS 16.
There are 4 unions that are working for employees under this associations.
i. INQILAB UNION
ii. ETIHAD UNION
iii. INSAF UNION
iv. GAZI UNION

Responsibilities of unions

1. Representing body

The main role of trade union is to ensure the welfare of its members such as
safeguarding the interests of its members, protecting the reliability of its trade,
achieving higher wages by securing economic benefits. It also optimizes the working
conditions at the workplace and guarantees a job security while protecting members
against unfair dismissal at workplace.
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2. Negotiations
The Union is allowed a wide range of reasonableness in serving the bargaining
unit it represents, subject to good faith in the exercise of its judgment. If union
is unfair or disregard individual employees fight then it may constitute a
breach.

3. Information and advice

Unions are experts at solving problems at work. Trade unions provide

Staff with information, advice and guidance about any work related problems.

4. Duty to investigate
The investigation must be sufficient enough to permit the union to make a
judgement instead of arbitrator or conciliator.

Registration of trade unions

These trade unions are following the Industrial Relation Act 2012 and have
provided all their documents to the registrar.
The procedure is:
1. The trade union will have to give an application to registrar to register
the union.
2. Complete all the requirements for applications and requirements for
registration.
3. The registrar will make sure that all the requirements have been
fulfilled.
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4. If the registrar is satisfied the he will issue the certificate of registration

within 7 days.

Cancellation of trade union

In 1998 Insaaf group became the collective bargaining agent CBA but due to
clashes and change in rules in 2001 president Pervez Musharraf cancel the
registration of all unions and management took over all the matters.

Collective bargaining agent

Whenever there are multiple trade unions, there has to be a CBA and the case is no
difference in university of the Punjab. CBA is chosen from the trade union, take
part in elections (secret balloting)

Election took place on 10th July 2019. Current CBA is INQILAB GROUP. Right
now it has 22 body members, they have different designation as per CBA
constitution i.e. president, senior vice president, vice president, general secretary,
joint secretary, information secretary, sports secretary and 15 executive members.

Objectives of CBA

 CBA is not exclusively for the member of its trade union but for all the
employees.
 CBA has to negotiate with the employer (top management and government)
on almost all terms related to the employment and work of all the
employees, including benefits, allowances and social security.
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Duration of CBA
The tenure of CBA is 2 years.

Criteria for membership

There is a specific criterion for membership, when the person spends three months
in the organization then he applies for the collective bargaining agent. This
application is submitted to the general secretary. The one who wins the criteria he
become collective bargaining agent and have right to discuss management issues.

Grievances ‘handling

Complaint Management System

Complaint Management System is to register the complaints of the Punjab
University (PU) Staff for PC and Network Troubleshooting and process to solve
them accordingly.
SMS (Services Management System) has been developed by IT-Centre to
facilitate PU staff Members. PU Staff Member can register complain online and
can see its status as well. IT-Centre staff will look after registered complains and
solve accordingly.
 15

Strikes and lockouts

While conducting an interview from their management we got to know that no case of lockout
neither legal nor illegal has ever happened in university.
As unions are registered after 22 years so since 22 years no legal strike happened but recently 2
illegal strikes took place which happened for 3- 5 hours
 8th April 2019
 18th April 2019

Recently one legal strike took place at Faisal auditorium on 16th January 2020

 Reasons for strike

1. As election took place after 22 years before that there were 15 executive seats but
employees wanted that university should give 20 executive seats. They submitted the
proposal but top management refused, so, employee called out for strike.
2. The deduction was set 2 rupees in 1998 when CBA and unions were present but now
CBA wants to increase that amount and they submitted the proposal. According to the
proposal the deduction must be
i. 30 rupees BS 1 TO BS 10
ii. 50 rupees BS 11 TO BS 16

But some opposition unions don’t supported the idea and the quorum was not completed for
proposal so union (employees) called for strike.
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University Employees

o Lecturer: 1245
 All are permanent
 Other than these some are part time teachers and temporary
o Other workers: not mentioned

PART TIME TEACHERS

1. They shall be paid a remuneration on lecture basis at the prescribed rates

2. Their appointments shall be renewed every year.

3. Subject to the exigencies of work, they may be permitted leave of absence up to 16

lectures during the session.

Temporary Employees:

(1) A temporary University employee who had rendered three years or longer continuous
temporary service on the 13th October, 1955, shall, for the purposes of these Statutes, be treated
as a University servant in permanent employ, and if he elects these Statutes, shall be subject to the
provisions of these Statutes with effect from the 14th October, 1955

(2) A temporary University employee who had not completed three years on the 13th October,
1955, or one who joined or may join University service after that date shall, with effect from the
date on which he completes three years' continuous temporary service, or on which he is appointed
substantively to a permanent post.
 17

Pay scale

National Pay Scales

Notwithstanding anything to the contrary contained in the University Ordinance
regarding the conditions of service, grades, etc., of the University employees,
whole-time paid teachers.

The University teachers shall get the following National Pay Scales:
(a) Lecturers ... NPS-17
(b) Assistant Professors ... NPS-18
(c) Associate Professors ... NPS-19
(d) Professors, Principals ... NPS-20
Of Constituent Colleges and
Director of Institute of Education and Research.

 Basic wage rate is 18000 per month

 Lectures on part time basis by University Teachers

The rates of remuneration to part-time teachers have been fixed as below subject to the
condition that conveyance charges will not be paid:-
(1) Professor (BPS-20, 21)—Rs.600/-per Lecture
(2) Associate Professor (BPS-19) —Rs.500/-per Lecture
(3) Assistant Professor/ (BPS-17, 18)—Rs.400/-per Lecture Lecturer/Contract/Part time
(4) Teacher of Eminence Rs. 600/- per Lecture.
 18

 Three practical hours be counted equivalent to two theory lectures for the
purposes of payment.

1. Rs. 1.50 lac for teachers working in BPS-20,21

2. Rs. 1.20 lac for teachers working in BPS-19
3. Rs. 1.00 lac for teachers working in BPS-18, 17

Notice of Discharge from service

In case of temporary employees or such permanent employees whose posts are retrenched, with
the previous approval of the Syndicate, reasonable notice shall be given by the University for
Termination of service. The following period is considered as the minimum for this purpose:-

 Temporary employees ... One month

 Permanent employees..... Three months.

As a safeguard towards this condition the temporary incumbent [excluding temporary teachers]
shall have to keep basic pay for one month in deposit provided always that the University may in
lieu of any notice, herein provided for, give a sum equivalent to the amount of pay for the period
of notice or for short notice that the prescribed limit equal to the amount of incumbent's pay for
the period of which such a notice falls short.

Quit Service Notice:

No employee of the University shall be permitted to leave the service unless he gives one
month's notice if he is on probation or holds a temporary post and three months' notice in case of
a permanent employee should be provided.
 19

Allowances

1. RESIDENTIAL ACCOMMODATION
University teachers not provided with accommodation by the University shall be paid
house rent allowance as admissible in the National Pay Scales Rules contained in the
Punjab Civil Services Rules, 1973.
2. QUALIFICATION ALLOWANCE
 University Teachers who possess/acquire Ph.D./D.Sc. degree from any recognized
University shall get Qualification allowance Rs. 1,500/-
 Special Allowance at the rate of 50% of the Ph.D. Allowance per month to those
employees of the University who possess the M.Phil./LL.M. Degree
 University of the Punjab give scholarships to the son(s) or daughter(s) of the employee if,
they get at least 60% marks but less than 90% marks

Matric 5000
Intermediate 10000
Graduation 15000
Masters or MPhil 20000

 If the child gets marks more than 90% than university will give amount of 50,000 per
year for all classes.

Retirement benefits
University offers benevolent funds, provident funds, medical facilities and pension to the
retired person

 Benevolent fund 2% deduction from the employee’s salary and

2% addition from the government. If the
person do not apply for loan than lumsum
payment will be given to the employee after
retirement
 20

 Provident fund Deduction depends on basic pay scale i.e if an

employee is from BS1 To BS5 the deduction will be
RS. 160. Members of the fund shall have the option to
contribute up to (20% of the total) income towards
the Provident Fund,

 Medical fund Sheikh Zayed hospital I in the panel of university

board. Even after retirement employee will
receive benefits.

Medical allowance *detail

In university, there is a medical board and health center. Every employee has right to visit
there and receive free routine checkup. There are many doctors available aver time so
that small or daily basic issue can be solved and treated within time.
Sheikh Zayed hospital is in the panel board of university of the Punjab. If employee has
any issue regarding their health they can visit the hospital with free checkup an payments
will be paid by university and medicines will also be provided free of cost to the
employees.
House requisition allowance
If an employee wants to get house requisition allowance than he or she has
to submit application to registrar with complete documents.
 Id card
 Employee card
 Rent papers
 The house requisition will be given directly to the owner of house
 It depends on basic pay scale
 The amount will be increased from 33% to 35% every 3 years.

Housing scheme
 University also provide housing scheme for their employees. University get loans directly
from government and announce scheme for employees. Employees can buu plots on 5,7
and 10 year installments.
 21

In service deaths

In case a University employee dies while in service, lump sum payment equal to full pay up
to 180 days out of the leave at his credit shall be made to his family as defined for the
purpose of family pension.

If employee die during services than university provides some benefits which includes

 Job to his or her child (if they meet requirements)

 Lumsum payment depending on scale i.e.

BS 1 – BS 5 10 LAC
BS 6 – BS 11
BS 12- BS 16
BS 17- BS 21 60 LAC

Requirements
 family must apply for funds, surety bonds will be given to university
 There must be only 1 wife of employee.
 1 to 2 months procedure
 University panel will proceed the applications

Leaves
Following leaves are provided:

 Causal leaves
 Annual leaves
 Lumsum leaves
 Anti Rabic leaves
 Quarantine Leave
 Leave on Half Average Pay
 22

 Special Casual Leave

 Study leave
 Medical leave

Causal leaves:
25 causal leaves in a year with a maximum of 10 days at a time are provided to permanent
employees, if any employee who doesn’t avail these causal leaves than there will be no payment
for that and these leaves will not be added next year.

Anti Rabic:
Leave for anti-Rabic treatment may be granted for one month on production of a certificate from
the Hospital (Anti-Rabic). The employee will be considered on duty and as such will draw his
actual pay and not leave allowance.

Annual leaves:
30 annual leaves are provided to the employee if any employee does not avail these leaves than
management will add these to next year and after retirement, management will pay amount of 12
months

Quarantine Leave:

If an employee or any member of his family living with him is suffering from any infectious
disease, such as measles, smallpox, cholera, plague, etc., quarantine leave may be granted up to a
limit of one month on production of a certificate from the [University Chief Medical Officer].
The employee will be considered on duty and shall be eligible to draw full pay.

Lumsum leaves:

An employee can take maximum 5 year leaves

 If he wants to study abroad

 He has some serious medical issues
 23

University will not pay for all these years nor will any services be counted for these 5 year period

Leave on Half Average Pay:

If no casual leave or privilege leave is due, then, in exceptional circumstances, leave on half pay
may be granted for a period not exceeding 10 days in the year.

Special Casual Leave:

During the months of July, August and September, special casual leave (as noted below) may be
sanctioned to employees

i. Two leave of 10 days each, or

ii. One leave of 15 days

Study Leave:

Desiring to prosecute higher study, abroad, and holding permanently, not for a fixed period, a
teaching, or an administrative post in the University, may, if he has served in that capacity for
not less than three years be granted leave [for full pay] per mensum for a period or periods not
exceeding [four years], in all during his service, provided that he spends that period in study at a
University.

Medical leave

The medical leave may be combined with summer vacation or any other type of leave, provided
that the total period of leave on full pay so granted shall not exceed 7 months at a time.

Rest and Recreation Leave/Allowance:

Rest and Recreation Allowance shall cease to be admissible to an employee of the University
who draws pay in the Basic Pay Scales,
 24

Retirement:

An officer, teacher or other employee of the University shall retire from service:-

i. On such date, after he has completed twenty five years of service qualifying for pension
or other retirement benefits as the competent authority may, in the public interest, direct;
or
ii. On the completion of sixtieth year of his age.

Leave preparatory to retirement:

The maximum period up to which a University employee may be granted leave
preparatory to retirement shall be 365 days. It may be taken subject to availability, either
on full pay or partly on full pay and partly on half pay, or entirely on half pay at the
discretion of the University employee.

Insurance scheme

The scales of the sums to be insured shall be as mentioned below:-

 Employees in BPS 20 Rs. 2,00,000/-

 Employees in BPS 19 Rs. 1,75,000/-
 Employees in BPS 18 Rs. 1,50,000/-
 Employees in BPS 17 Rs. 100,000/-
 Employees in BPS 16 Rs. 75,000/-
 Employees in BPS 11to15 Rs. 50,000/-
 Employees in BPS 5 to 10. Rs. 25,000/-
 Employees in BPS 1 to 4 Rs. 20,000/-

Pension

A retiring officer in BPS-20 and above will be allowed a special pension equal to the admissible
pre-retirement orderly allowance.
 25

Deductions

i. Tax deduction
If salary increased 35,000 than FBI deducts the tax automatically from accounts of employees.

ii. Benevolent fund deduction

2% deduction is necessary from employees.

Ticket number
Workmen are facilitated with employee number or ticket number which has the following
detail.
1. Name
2. CNIC
3. ID No
4. Date of Birth
5. Designation
6. Issue date
7. Address
8. Contact Number

Shifts
There is 1 shift in university of the Punjab

 From 8:00 to 4:00 pm

 If department are offering afternoon and evening classes than department will pay
employees by themselves.
 BS 1 BS 5 – RS
 BS 6 TO BS 11 - RS 1800
 BS 12 TO BS 15 – RS 3700
 26

Prevalence of Disable Person Ordinance 1981:

2% quota is kept for disable person according to disable person ordinance. They are treated
equally and all workplace rules are applicable on them. They are not liable to give funds as they
are including disable person according to disabilities in university.

Disabled person (employment and rehabilitation) ordinance, 1981 provided reservation of quota
on the total no. of person employed by establishment (on overall strength of the organization
concerned) and not against each basic scale. It should not be less than 1 percent.

A press release was held in the university for disabled people.

Disability not a weakness, says minister

Wednesday, December 5, 2018:

Punjab Minister for Special Education Mr. Chaudhry Muhammad Akhlaq has said that disability
is not weakness rather we must benefit from the strengths of special persons for development of
our country. He was addressing a national conference on research in special education organized
by Punjab University Department of Special Education in collaboration with Punjab Higher
Education Commission and Punjab Welfare Trust for the Disabled at Al-Raazi Hall here on
Wednesday. Dean Faculty of Economics and Management Sciences Prof Dr Nasira Jabeen,
Chairman Akhuwat Foundation Dr Amjad Saqib, Dean Faculty of Education Prof Dr Mumtaz
Akhter, in charge Department of Special Education Dr Humara Bano, Dr Abdul Hameed from
UMT, Director PWTD Dr Izhar Hashmi, faculty members and a large number of students were
present on the occasion.

Special (Disabled) persons (blind/physical 2% (with a minimum of one seat)

handicapped) on humanitarian grounds (to be
approved by the Vice-Chancellor after a case has
been made out by the Chairman of the Department
and is supported by the Dean, of the Faculty
concerned and the Committee constituted for this
purpose).
27
 28

Analysis on the basis of theoretical and practical study

The concept of industrial relations means the relationship between employees and management in
day to day working industry, but the concept has wide meaning, when taken in wider sense,
industrial relations is a set of functional interdependence involving historical, economic, social,
psychological, demographic, technological, occupational, political and legal variables.

The legal and institutional frameworks of industrial relations and collective bargaining in East
Asian countries have been strongly influenced by the political and economic developments in each
country. The industrial relations system refers to a regulatory framework and a mechanism that
governs workplace relations. It is defined as “the interaction between employers and employees or
their representatives and the mechanism by which the standards and other terms and conditions of
employment are negotiated, adjusted, and enforced”

After a detailed study we conclude that there is no clash of Industrial Relation Act 2012 and
Disable Ordinance Person 1981 in university of the Punjab. However all polices they made for
the employees, there is no conflict between Industrial Relation Act12, DOP and polices the board
of director made for the employees/teachers/workers. University of the Punjab is a public
organization and should follow the rules, regulations and policies made by the government of
Pakistan. The institution provides the best and safe work environment for the employees.

The registration of the unions or CBA has same procedure as described in law and their
cancellation process is also same.

There is no Shop strewed, no work council and joint Management Board instead of this, the
university has created a Grievance Handling Committee. There is no discrimination between
Muslims and Minorities.

Employment of Disable Person is 2% while the DPO ACT tells us 3% quota for the special
person in the organization. There is a medical board or doctor in the university who examines the
person’s disability.
 29

Suggestion

Any organization to be effectively performed should have sound industrial relations. A sound
industrial relations comprises

 Congenial relations between employees and employers

 Congenial labor management relations
 Minimized industrial conflicts
 Highly developed trade union
 Contribution to the university objectives