Employers and employees must give a notice of 1 month if they want to terminate the employment relationship, except in case of dismissal due to misconduct. This notice period can be waived off by paying 1 month’s wages to the other party in lieu of notice. The province of Balochistan requires 3 months’ notice or payment in lieu of. Temporary workers, probationary workers, badlis, and contract workers are not entitled to any notice before their termination.
Foreign nationals who wish to be employed in Pakistan must obtain a work visa. There is no requirement for a work permit. They must submit the following documents:
In case of employment by company:
In the case of single person-owned business:
Work visas are issued for 2 years and can be extended. Conversion of a Business Visa into a Work Visa and vice versa is allowed.
Employees working in shops and commercial establishments are entitled to 14 days of fully paid annual leave after a continuous employment of 12 months with the same employer. Employees can request payment in lieu of annual leave. Unused annual leave days can be accumulated to next year, provided the total number of accumulated leaves does not exceed 30 days in a year.
In the provinces of Punjab, Sindh, and Khyber Pakhtunkhwa, employees working in factories are entitled to annual leave of 14 consecutive days at full pay after a continuous service of 12 months. Employees must be paid half of their payment for leave in advance. If an employee fails to avail annual leave in a year, it shall be added to the next year. If an employee’s contract is terminated before availing of their annual leave, they will be entitled to full payment for the unused leave days. In Balochistan province, factory employees are entitled to fully paid 20 days’ annual leave after a continuous service of 12 months. They can accumulate leave for up to a total of 60 days.
The standard work week in Pakistan is 9 or 48 hours per week for adults, 7 hours a day, and 42 hours a week for adolescents in shops and commercial establishments. In the province of Khyber Pakhtunkhwa, the standard work week is 8 hours a day or 48 hours a week for adults, and 7 hours a day and 42 hours a week for adolescents. In factories, the working hours are 9 hours per day or 48 hours per week, and 10 hours per day or 50 hours per week in a seasonal factory. The period of work of an adult and young person shall be so arranged that including a rest break, it shall not spread over more than 12 hours in the case of an adult and 9 hours in the case of a young worker. At a prominent place, every employer shall display establishments' opening and closing hours.
Female employees are entitled to maternity leave of 12 weeks – 6 weeks before and 6 weeks after delivery in the provinces of Punjab and Khyber Pakhtunkhwa. In Sindh province, the leave duration is 16 weeks, split into – 4 weeks before and 12 weeks after delivery. In Balochistan, the leave is for 14 weeks, split into – 6 weeks before and 8 weeks after delivery. They must submit a medical certificate to their employer and must also give written notice in advance to their employer of availing this leave. Employees are eligible for maternity leave and benefits if they have worked for at least 4 months with the same employer in Punjab, Khyber Pakhtunkhwa, and Balochistan and 1 year in Sindh.
Under the Maternity and Paternity Act, 2023, the federal government has introduced maternity leave of 180 days on the first birth, 120 days on the second birth, and 90 days on the third birth for female employees of public and private establishments under the administrative control of the federal government. This leave can only be availed 3 times in the entire service period of the employee. Employees are entitled to full pay during leave.
A pregnant or nursing woman shall not be obliged to perform night work if a medical certificate declares such work to be incompatible with her pregnancy or nursing. It is unlawful to dismiss an employee for the reason of their pregnancy or childbirth.
In Pakistan, minimum wages are determined by the provincial Minimum Wages Boards. The wages are determined by industry and skill. No employee must be paid less than the minimum wage. Employers and employees can determine their wage periods, but it must not exceed 1 month.
The current minimum wage levels are:
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