Course: INDUSTRIAL RELATIONS (IR) SUBMITTED BY UROOJ AYAZ (61632) RIMSHA GUL (62144) TEHMINA RASOOL (62289) SAMREEN FATIMA (8615) SUBMITTED TO SIR SOHAIB ALI BAIG

1. SUBMITTED TO
SIR SOHAIB ALI BAIG
SUBMITTED BY
UROOJ AYAZ (61632)
RIMSHA GUL (62144)
TEHMINA RASOOL (62289)
SAMREEN FATIMA (8615)
INDUSTRIAL RELATIONS
FINAL REPORT
SPRING - 2021
SINDH EMPLOYEES SOCIAL SECURITY INSTITUTION
(SESSI)
DATE: 20th
April’ 2021

2. TABLE OF CONTENTS
INTRODUCTION..................................................................................................................................5
MISSION ............................................................................................................................................5
VISION...............................................................................................................................................5
COMPANY PROFILE.............................................................................................................................5
BENEFITS............................................................................................................................................6
SICKNESS BENEFIT...........................................................................................................................6
MATERNITY BENEFIT.......................................................................................................................7
DEATH GRANT................................................................................................................................7
MEDICAL CARE DURING SICKNESS AND MATERNITY .........................................................................7
(1) A securedpersonandhisdependentsshallbe entitledtomedical care inthe mannerandto the
extent provided in the regulations...................................................................................................7
MEDICAL CARE OF DEPENDENTS, ETC. .............................................................................................8
INJURY BENEFITS - ..........................................................................................................................8
DISABLEMENT PENSION..................................................................................................................8
DISABLEMENT GRATUITY.................................................................................................................9
SURVIVOR’SPENSION .....................................................................................................................9
DEATH GRANT IN CASE OF DEATH WHILE IN RECEIPT OF INJURYBENEFIT OR TOTAL DISABLEMENT
PENSION ......................................................................................................................................10
MEDICAL CARE IN THE CASE OF EMPLOYMENT INJURY.......................................................................10
CONTENT OF MEDICAL CARE.........................................................................................................10
MANNER OF PROVIDING MEDICAL CARE –.........................................................................................11
INSTITUTION’S POWER TO PROMOTE MEASURES FOR HEALTH, WELFARE ETC. OF SECURED PERSONS..11
GREVIANCES.....................................................................................................................................12
CASH BENEFITS.................................................................................................................................12
AN OVERVIEW...........................................................................................................................12
SESSI MEDICAL FACILITIES.................................................................................................................13
SESSI CENTRES..................................................................................................................................14
SESSI MEDICAL.................................................................................................................................15
SESSIis responsible toprovide medical care facilitiesandcashbenefitsandtosecuredworkersand
theirdependents.The institutionisspendingabout67% of itsbudgetonprovidingmedical care.To

3. provide these facilitiesamongsecuredworkerswhoare allottedtoadispensaryof the institutionwith
theirconsentwhichisnearto theirresidence orfactory.There are the workersgetregisteredtheir
namesand theirdependents.If needed,theyandtheirdependentsare referredtothe hospitalsby
these dispensaries. .......................................................................................................................15
SESSI MEDICAL CENTRES ...............................................................................................................15
SPHERE OF ACTIVITY FOR MEDICAL HELP .......................................................................................15
SESSI DISPENSARY...................................................................................Error! Bookmark not defined.
SOCIAL SECURITY DISPENSARY...........................................................................................................16
SESSI DISPENSARY CENTRES...........................................................................................................16
SESSI HOSPITALS...............................................................................................................................16
SESSI LOCATED HOSPITALS............................................................................................................17
REGISTRATION UNDER SOCIAL SECURITY SCHEME / MODE OF CONTRIBUTION....................................18
MODE OF REGISTRATION ..............................................................................................................18
REGISTRATION OF ESTABLISHMENTS .............................................................................................19
REGISTRATION OF WORKERS.........................................................................................................19
SOCIAL SECURITY CONTRIBUTION..................................................................................................20
WAGES ............................................................................................................................................20
MODE OF PAYMENT CONTRIBUTION .............................................................................................21
a) SOCIAL SECURITY SCHEME..................................................................................................21
b) SELF-ASSESSMENT SCHEME................................................................................................21
CONTRIBUTION SCHEDULE............................................................................................................21
DURATION OF CONTRIBUTION.......................................................................................................21
APPLICATION OF INCREASE ON ACTUAL AMOUNT OF CONTRIBUTION.............................................22
NAME OF LOCAL DIRECTORATES .......................................................................................................22
INTERVIEW QUESTIONS ....................................................................................................................22
ORGANOGRAM ................................................................................................................................24

4. ACKNOWLEDGEMENT
We havetaken effortsin this project.However,it would nothavebeen possible without the kind support
and help of SESSI MANAGEMENT who helped us.
We are highly grateful to “Sir Sohaib Baig” for their guidance and constant supervision as well as for
providing necessary information regarding theproject& also for their support in completing the project.
We would like to express our gratitude towards member of PAF KIET for their kind co-operation and
encouragement which help us in completion of this project.

5. INTRODUCTION
SESSI is a service oriented organization. The function of the Institution is unique in nature for the
welfare of labor class. It aims at providing medical care facilities and cash benefits to the secured
workers and their dependents.
THE SINDH EMPLOYEES’ SOCIAL SECURITY ACT, 2016 SINDH ACT NO. VI OF 2016 to introduce a scheme
of Social Security for providing benefits to certain employees or their dependents in the event of
sickness, maternity, employment, injury or death and for matters ancillary thereto.
MISSION
SESSI will switch the system of paying the monthly contributions on to online, which will not accept
paymentmade onthe minimumwage rate and SESSIis a service oriented organization. The function of
the Institution is unique in nature for the welfare of labor class. It aims at providing medical care
facilities and cash benefits to the secured workers and their dependents.
VISION
More than 70% of SESSIbudgetrevolve aroundmedical care and largest chunk of Institution's financial
resources is spent in this sphere, the main thrust is on bringing the hospitals, medical centers and
dispensaries at par with first rate private medical institutions, ensuring excellent medical care to the
secured workers and their dependents. First step has already been taken in this direction by making
adequate provisions in the current fiscal year budget for modernization of medical facilities.
COMPANYPROFILE
In Pakistan,Social Security Scheme was launched on 1st March, 1967, under West Pakistan Employees'
Social SecurityOrdinance No.Xof 1965, withthe assistance of the International LaborOrganization.The
Sindh Employees' Social Security Institution (SESSI), however, came into being on 1st July, 1970 when
the Scheme wasreorganizedonprovincial basisafterthe dissolution of One-Unit. Initially, the Scheme
was designedforcoverage of textileindustryworkersof Karachi andHyderabad.Ongettingencouraging
results later on the Scheme was extended to all other industries and commercial units.

6. SESSIis an autonomousbody,the general directionandsuperintendence of the affairsof the Institution
vest in a tripartite Governing Body. In its functioning, the Institution is guided by such instructions on
questions of policy as may be given to it from time to time by the Government.
BENEFITS
SICKNESS BENEFIT
(1) A secured person who is certified, by a medical practitioner authorized by the Institution in the
mannerprovidedinthe regulationstogive sucha certificate,tobe incapable of attendingtohiswork on
account of sickness shall, subject to regulations, be entitled to receive sickness benefit at such rate as
may be fixed by Government by notification, in consultation with the Institution, if during the six
calendar months immediately preceding the date on which his incapacity or work was so certified,
contributions in respect of him were paid or payable for not less than ninety days.
(2) A secured person shall be entitled to receive sickness benefits throughout the period of sickness:
Providedthatduringa continuousperiodof three hundredandsixty-five days such benefit shall not be
allowed for a period exceeding –
(a) 3 hundredandsixty-fivedays,incase he has been suffering from Tuberculosis or Cancer which
render an employee incapable to earn his livelihood; and
(b) One hundred and twenty-one days, in case he has been suffering from any other disease:
Providedfurtherthathe shall notbe entitledtoreceivesuchbenefitforthe first two days of his
sicknessif suchsicknessdoesnot,withinfifteendays,follow the previous period of sickness for
which he received or was entitled to receive such benefit.

7. MATERNITY BENEFIT
A secured woman shall, subject to regulations be entitled to receive maternity benefit at such rate as
may be fixed by Government by notification, in consultation with the Institution, if contributions in
respect of her were paid or payable for not less than one hundred and eighty days during the twelve
calendarmonthsimmediatelyprecedingthe expecteddate of herconfinementascertified by a medical
practitioner authorized by the Institution in the manner provided in the regulations to give such a
certificate, and such benefit shall be paid for all days on which she does not work for remuneration
duringa periodof twelve weeks,of which not more than six weeks shall precede the expected date of
confinement.
DEATH GRANT
(1) On the death of secured person receiving or entitled to receive injury benefit, sickness or medical
care at the time of his death, the surviving widow or widows or needy widower, or if there be no
survivingwidow,widowsorneedywidower, the person who provided for the funeral, shall, subject to
regulations,be entitledtoadeath grant equal to the daily rate of sickness benefit multiplied by thirty,
but in no case less than fifteen thousand rupees.
(2) Where husband of a secured woman dies, she shall, subject to regulations, be entitled to receive
iddat benefit equal to the daily rate of her wages during the period of her iddat.
(3) Providedfurtherthatnoemployershall refuseleave for the period of iddat and such leave shall not
be accounted towards leave provided under any other law for the time being in force.
MEDICAL CARE DURING SICKNESS AND MATERNITY
(1) A securedpersonandhisdependentsshallbe entitledtomedical care inthe mannerandto the
extentprovidedinthe regulations.
(2) A secured woman shall subject to regulations, be entitled to prenatal confinement and post-natal
medical care, if she is entitled to maternity benefit under section 37 or if, during six calendar months
immediatelyprecedingherclaim,contributionsinrespect of her were paid or payable for not less than
ninety days.

8. MEDICAL CARE OF DEPENDENTS, ETC.
Where a securedpersondiesotherthandue toany employmentinjury,hisdependentsshall, subject to
regulations, be entitled to medical care for one year from the date of death of the secured person:
Providedthatthe deceasedsecuredpersonhadbeenincontinuousemploymentof anestablishmentfor
not less than twelve months immediately preceding his death:
Provided further that where the deceased secured person was a seasonal employee, his dependents
shall be entitled to medical care for six months from the date of death of such secured person
Provided also that the deceased had been in employment of an establishment for not less than six
months during two continuous seasons immediately preceding his death.
INJURY BENEFITS -
A securedpersonshall,subject to regulations, be entitled to receive injury benefit at such rate as may
be fixed by Government by notification in the official gazette, in consultation with the Institution, in
respectof any day including the day on which, as a result of an employment injury, he is certified by a
medical practitionerauthorizedbythe Institutioninthe mannerprovidedinthe regulationsto give such
a certificate to be incapable of work, but for not more than one hundred and eighty days.
DISABLEMENT PENSION
(1) A securedpersonwhosustainstotal orpartial disablementshall,subject to regulations, be entitled,
uponthe expirationof his entitlement to injury benefit, to receive disablement pension, according to
the degree of disablement determined from time to time, at such rates for different degrees of
disablement as may be fixed by Government by notification, in consultation with the Institution.
(2) Disablementpensionshallterminate withthe deathof the recipientorwhendisablement ceases, or
ceasesto be total or partial disablement:Providedthat if a disablement pension has been paid for five
years it shall be payable for life.

9. DISABLEMENT GRATUITY
(1) A secured person who sustains minor disablement shall, subject to regulations, be entitled to a
disablementgratuityatsuchratesfor differentdegreesof disablement as may be fixed by Government
by notification, in consultation with the Institution.
(2) Where a personreceivingdisablementpensionceasestosufferfromtotal orpartial disablement but
continuestosufferfromminordisablementhe shall,onthe terminationof hisdisablement pension, be
entitled to disablement gratuity under this section.
SURVIVOR’S PENSION
(1) Where a securedpersondiesasa resultof an employmentinjury, a survivor’s pension shall, subject
to regulations, be payable to each of his dependents as follows, that is to say –
(a) To the widow, widows, or needy widower, during life, at a rate equal to three-fifths of the
rate of total disablement pension to which the secured person was, or would have been
entitled, and where there are two or more widows, the pension shall be divided equally
between them
(b) To each dependent child, at a rate equal to one-fifth of the rate of such total disablement
pension:Providedthatif the child is a full orphan, the rate shall be two fifths of the rate of the
total disablement pension: Provided further that if and so long as the total of the survivor’s
pensions would otherwise exceed the rate of such total disablement pension, the pension of
each of the survivors shall be reduced proportionately so that the total pensions payable to
them does not exceed the rate of the said total disablement pension.
(2) Incase the deceasedpersondoesnotleave awidow,orneedywidower,asurvivor’spensionshall be
payable forlife toa dependentfather,if he be alive,andif he be notalive,toa dependentmother,if she
be alive, at a rate equal to one-fifth of the rate of the total disablement pension to which the secured
person was or would have been entitled.
(3) Survivor’s pension shall be payable upon the death of the secured person and shall terminate –
(a) Upon the death of the survivor; or

10. (b) Where the survivor is a widow, upon her remarriage; or
(c) Where the survivorisa dependent child on attaining the age of twenty one years; provided
that such age limitshall notapplytodependentunmarrieddaughter child, and in any such case
the pensionsof the remainingsurvivorsshall,if necessary,be adjustedwithinthe maximum laid
down in the second proviso to sub-section (1).
DEATH GRANT IN CASE OF DEATH WHILE IN RECEIPT OF INJURY BENEFIT OR
TOTAL DISABLEMENT PENSION
Where a securedpersondies while he is in receipt of injury benefit or of a total disablement pension,
the widow, widows or needy widowers, or, if there is no widow or needy widower, the person who
providedforthe funeral,shall,subjecttoregulations,be entitledtoadeathgrant equal to the daily rate
of the injurybenefitorof the total disablementpension,asthe case may be, multiplied by thirty, but in
no case less than fifteen thousand rupees.
MEDICAL CARE IN THE CASE OF EMPLOYMENTINJURY
(1) When medical care is required as a result of an employment injury –
(a) No conditions as regards payment of contributions shall apply; and
(b) It shall include dental care in addition to the services referred to in section 47.
(2) A personinreceiptof injury benefit, disablement pension for loss of earning capacity not less than
fiftypercentumof a survivor’spensionshallbe entitledtomedical care forso longas the injurybenefit,
disablement pension or survivor’s pension, as the case may be, continues, and, in the case of a
disablementpensionbeingreceivedbythe secured person, for six months after the termination of the
pension.
CONTENT OF MEDICAL CARE
(1) Medical care shall include –
(a) General practitionercare,including domiciliary visiting
(b) Specialistcare inhospitalsforin-patientsandout-patientsandsuchspecialistcare asmay be
available outside hospitals;

11. (c) Essential pharmaceutical suppliesasprescribedbyamedical practitioner
(d) Hospitalization wherenecessary,includingcasesof pregnancyandconfinement;
(e) Pre-natal confinementandpost-natal care,eitherbymedical practitionersorbyqualified
midwives.
MANNER OF PROVIDINGMEDICALCARE–
(1) Regulations shall specify the manner in which medical care shall be provided.
(2) The Institution may, with the approval of Government, establish and maintain such hospitals,
dispensaries and other facilities as it finds necessary for providing medical care in pursuance of the
provisions of this Act.
(3) The Institutionmaybuyorimportand dispense pharmaceutical supplies direct to the beneficiaries.
(4) The Institution may enter into agreements with Government, any local authority, private body or
individual in regard to the provision of medical care to persons entitled to it under this Act.
(5) The Institution may enter into an agreement with an employer who maintains a hospital or
dispensary or any other medical facility for the benefit of his employees for the utilization of such
hospital,dispensaryorfacilityforthe purposesof the Institutionandsuchagreementmay,among other
things, specify the persons to whom medical care shall be provided, the type of benefit to be made
available,the minimumlevel of suchbenefit,the conditionsunderwhichsuchbenefitshall be provided,
the extent of supervision which the Institution may exercise over the hospital, dispensary or other
medical facility,the submissionof reportstothe Institutionbythe employer,andthe extentandmanner
of re-imbursement to the employer.
INSTITUTION’S POWER TOPROMOTE MEASURES FOR HEALTH,
WELFARE ETC. OF SECUREDPERSONS.
The Institution may, in addition to the benefits specified in this Act, undertake other measures for
improvingthe healthandwelfareof secured persons and for the rehabilitation and settlement of such
securedpersonsasmay have beendisabledorinjured,andmayforthat purpose incurexpenditurefrom
the Fund.

12. GREVIANCES
If any complaint is received or any question or dispute arises as to –
(a) Whether any person is a secured person within the meaning of this Act; or
(b) The rate of wages or average daily wages of a secured person for the purposes of this Act; or
(c) The rate of contribution payable by an employer in respect of an employee; or
(d) The person who is or was the employer in respect of a secured person; or
(e) Any benefit and the amount and duration thereof; or
(f) Any other matter in respect of any contribution or benefit or other dues payable or recoverable
underthisAct, the matter shall be decided by the Institution, in such manner, and within such time as
the regulations may provide, and the Institution shall notify its decision to the person or persons
concerned,inwriting,statingthereinthe reasonorreasonsforits decisions;provided that the question
or dispute relates to demand or assessment of social security contribution, the complainant shall
deposit twenty five percent of the demand or assessment to the Institution.
CASH BENEFITS
AN OVERVIEW
In case of general sickness 75% of last pay is given for 121 days in a year.
In case of T.B or cancer 100% of last pay is given for 365 days in a year.
In case of injury 100% of last pay is given for 180 days in a year.
A securedwomenworkerispaid100% of last pay for12 weeksduringpregnancywhichincludepayment
for 6 weeks before pregnancy and 6 weeks after delivery.
On the deathif securedworker,hisdependentsare paidminimumof 15,000/- as lump sum or in case of
general sickness is given help equal to compensation of 30 days.

13. In case of death of husband of a secured women worker 100% of last pay is given for 130 days.
In case of partial or complete disability as a result of injury during working hours is paid donation or
pension of disability.
If a secured worker dies as a result of accident, his survivors are paid survivors’ pension.
SESSI MEDICALFACILITIES

14. SESSI CENTRES

15. SESSI MEDICAL
SESSIis responsible toprovide medical care facilities andcashbenefitsand tosecuredworkers and their
dependents.The institution is spending about 67% of its budget on providing medical care. To provide
these facilities among secured workers who are allotted to a dispensary of the institution with their
consent which is near to their residence or factory. There are the workers get registered their names
and their dependents. If needed, they and their dependents are referred to the hospitals by these
dispensaries.
SESSI MEDICAL CENTRES
5 hospitals of Social Security are working in different areas.
 Social Security Fatima Jinnah Medical Centre.
 Social Security Korangi Medical Centre.
 Social Security Dhabeji Medical Centre.
 Social Security Nooriabad Medical Centre.
 Social Security Sukkur Medical Centre.
SPHERE OF ACTIVITY FOR MEDICAL HELP
1. Providing of emergency services for 24/7
2. Treatmentfromdispensaries whichinclude examination and providing of medicines according
to prescription of doctor.
3. Facility of admission in hospital or treatment by specialists of the hospital.
4. Essential diagnosis by CT scan, Ultrasound, X-Ray and blood test etc.
5. Treatment of Kidney diseases.
6. Providing medicines according to doctor’s prescription from medical centres or recognized
chemists (medical stores).
7. Facility of dental treatment which is only provided in case of injury during working hours.
8. Facility of treatment of Hepatitis B/C

16. SOCIALSECURITYDISPENSARY
The securedworkers goto Social Security Dispensarywith hisRegistration Card R-5 and Form B-2where
he is registeredand gets his medical history book by showing his relevant cards. Later on he takes this
bookto the Medical Officerwhoexamines him and suggests prescription in the book. If he is seriously
ill,the Medical Officerfills M-15 Form and sends him to the specialist doctor of the related disease for
treatment/advice.Afterbeingexamined bythe doctor, the patientgoestothe dresser(incase he needs
dressing)andthengoes tothe dispensary alongwithmedical historybookto take his medicines. In case
of emergency (accident) the employer can himself fill Form B-3 and send the patient directly to the
hospital but the next day it is essential to submit M-15 of the patient from the relevant dispensary if
hospital.
SESSI DISPENSARY CENTRES
42 Dispensaries are workingind/f areas of the province under7medical centresof Social Security. Their
addresses are
1. City Circle (4)
2. S.I.T.E Circle (7)
3. Landhi Circle (3)
4. Korangi Circle (2)
5. Kotri Circle (4)
6. Hyderabad Circle (10)
7. Sukkur Circle (12)
SESSI HOSPITALS
The specialist normally examines in the hospital’s OPD the patient referred from dispensaries. Those
who do not require hospitalization referred back to dispensary otherwise admitted in hospital to
continue treatment. Allclinical investigations,medicinesanddiet has been provided to patients free of

17. cost, where some facilities are not available at Social Security Hospitals, the patient is referred to
outside hospital for treatment. Costs involved are borne by the Institution.
SESSI LOCATED HOSPITALS
5 hospitals of Social Security are working in different areas of the province. A brief introduction with
addresses is as follows
1. Kalsoom Bai Valika S.S. SITE Hospital, Karachi.
The hospital is situated at H-3 SITE Manghopir Road, Karachi. It has capacity of 355 beds. There are
departmentsof Surgery,Orthopedics,ENT,Children Diseases,ChestDisease,Psychology,HeartDisease,
Neurology, Skin Disease, Gynecology, Anesthesia, Dental Care, Oncology and Medicines. The hospital
has facility of dialysis for Kidney patients in addition to diagnostic facilities of C.T. scan, ECG, X-Ray,
Ultrasound, and Laboratory Tests. This hospital has also Operation Theaters whereas its emergency
department works 24/7 I.C.U and ambulance service are also available.
2. Social Security Landhi Hospital.
This hospital is situated at ST-13, Block-1, Landhi Industrial Area, Karachi. It has capacity of 213 beds.
This hospital has departments of Surgery, Hand Surgery, Orthopedics, ENT, Eyes. Children diseases,
Chestdiseases,Gynecology,Anesthesia,Dental Care,andMedicines. The hospital hasdialysis facility for
kidney patients in addition to ECG, X-Ray, Ultrasound, and Laboratory Tests. It also has Operation
Theatres whereas emergency department works 24/7. ICU and ambulance services are also available.
3. Social Security Kidney Centre Landhi.
The hospital is situated at (Bin Qasim Town) behind the District Jail Malir, Karachi. It has capacity of 50
beds. It is spread on 5 acres. In this hospital many diseases are cured. It has facilities like Monitors,
Ventilators and Centrally Oxygen System in addition to 20 modern dialysismachines. It has modern
Laboratory andRadiology Departmentstodiagnose the diseases. Patients are also provided the facility
of modern Lethroscopy. This hospital has 2 Operation Theaters in addition to Intensive Care Unit
(ICU)whereas emergency department or of hospital works 24/7. An Increarer generator has been
installed to dispose of the waste.

18. 4. Social Security Hyderabad Hospital.
This hospital is situated in the middle of Hyderabad city. It has the capacity of 55 beds. There are
departments of Surgery, Orthopedics, Gynecology, Medicine, Chest Diseases,and Child Diseases,
Anesthesia,Dental Care etc., whereas specialistsof ChestDiseases,Neurology,Eye, Heart Diseases, and
ENT are alsoserving. Thishospital hasalsodiagnosis facilitiesof ECG, X-Ray, Ultrasound, and Laboratory
Tests. It has also an Operation Theatre. Besides hospital provides emergency services 24/7.
5. Social Security Kotri Hospital.
This hospital is situated at C-10 S.I.T.E. area, Kotri. It has capacity of 130 beds, it has departments of
Surgery. Orthopedics,Anesthesia,Medicine andDental Care whereasspecialists of ChestDiseases,Child
Diseases,HeartDiseases,Neurology,EyesandENTare alsoserving. Thishospital hasdiagnostic facilities
of ECG, X-Ray, Ultrasound, and Laboratory Tests. It has also Operation Theatre. This hospital provides
emergency 24/7.
PROVIDINGARTIFICIALLIMBS
For getting artificial limbs workers has to go to the hospital of the institution where the concerned
specialistdoctorexamineshimin detail and send his recommendations to Medical Advisor SESSI Head
Office where the worker is provided artificial limbs from the Head of rehabilitation and Welfare of
Secured workers of the concerned directorate under Section 49 of Social Security Act.
REGISTRATION UNDER SOCIAL SECURITY SCHEME / MODE OF
CONTRIBUTION
MODE OF REGISTRATION
Social Security Scheme is based on tripartitesystem – government, employers and workers. There are
three parties bywhose coordination scheme inimplemented.Firstof all, underthisschemeindustrial or
commercial establishment is registered under Social Security Act. Later on entitled workers of the
establishmentare registeredsothatworkersof the mostestablishmentsare includedinthe scheme and
get their medical care facilities and cash benefits.

19. REGISTRATION OF ESTABLISHMENTS
Under Social Security Act, Social Security Scheme has been enforced upon areas of all districts, towns
and cantonments. Likewise, the scheme has been readily enforced on all industrial and commercial
establishments of the province. Moreover, those establishments which are established after the
issuance of the notification, Social Security Scheme will be applied from the data of its creation of the
establishments. Local directorate of Social Securityinforms the entire establishment about this and also
sendsRegistrationForms(R-1).The administration of newlyindustrial orcommercial establishmentsfills
this form and sends it back to the local directorate. On receiving back this form the local office allots
Registration No. to this establishment and informs the concerned commercial establishment.
REGISTRATION OF WORKERS
Under Social Security Act an employee is a person who is hired to work on wages directly or through a
personor a contractor whetherhe isskilledor unskilled, supervisor or clerk, manual or otherwise who
works related to the affairs of the establishment. His appointment is under service contract or
apprenticeship, written or oral, open or hidden whose wages are up to Rs. 5000/- more than the
minimumwagesfixed by Rule 2015 of Sindh Government. Moreover, no worker can be excluded from
Social SecurityScheme for the reason that his monthly wages are more than Rs. 5000/- from minimum
wages fixed by the government.
From the date when commercial establishments are notified in the scheme, workers of these
establishmentsbecome entitledof registration.Forthis Registration Forms(R-2) of the workersare sent
to the administration of these establishments. In these forms separate details are recorded which
include name of the worker,father’sname,age ordate of birth, designation, birthplace, names of wife
and children, name of SESSI dispensary (where to get medicines) etc., filled forms attested by the
administration are sent to the local directorate of Social Security within 15 days attached with 3
passportsize photographs,attestedcopyof CNIC,attestedcopies of Form ‘B’ for children. Moreover, if
the parents are alive and dependents on the workers, their two attested photographs each, attested
photocopy of CNIC and written affidavit are also sent to the concerned local directorate. Then the
establishment allots Social Security No. to all workers and issue Social Security Cards (R-5) to these
workerswhereastheirparentsare issued (R-5p) cards. All these records are sent to the administration
of the concerned establishments so as to be distributed among the workers.

20. Social Securitycardmeansthat is workerisentitledtomedical andcashbenefitsdue underthe scheme.
If the workeror hisdependentsgotothe dispensaryfor medical treatment,they have to bring B-2 form
withthemfromtheir establishment which testifies that this worker is employed in the establishment
and his monthly contribution is being deposited in Social Security.
SOCIAL SECURITY CONTRIBUTION
The expensesof Social Security Scheme are taken fromthe income whichthe employers pay on account
of social security Contributions. In this connection SESSI isn’t given any help by the government.
According to Social Security Act it is lawful responsibility of the employers to notified establishments
that theypaythe contributionof everyemployeewhoisentitledof the registration underthe lawof the
establishmentatthe rate of 6% accordingto fixed rate and fixed time period. Social Security No. of the
worker is to be recorded in contribution Schedule (C-1) as a reference.
WAGES
In Social Security Act wages are defined “Compensation of service which is paid or due to secured
worker in the shape of cash or kind, is called wages”. The rate of wages shouldn’t be less than law of
minimumwages ineverycase whetherthe contractof service or apprenticeshipis written or oral, open
or hidden. Wages include dearness allowance, payment for the period of sanctioned leave, travailing
allowance, uniform allowances, meal allowances, services allowances, night shift allowance,
recreationalallowances and attendance allowance, payments on account of illegal or legal strike.
However, payments mentioned below are excluded from the definition of wages. Such wages are
exempted from contribution.
a) Overtime.
b) The amount whichthe employer givesfor the payment of those expenses which are related to
their employment.
c) Gratuity which is paid after retirement from service.
d) Bonus given to the workers on annual profit.

21. MODE OF PAYMENT CONTRIBUTION
a) SOCIAL SECURITY SCHEME
Accordingto Social Security (amended) Act2018 itis the legal responsibility of employers that they pay
the contribution of every worker who is entitled to be registered under the law of Social Security.
Moreover, social security contribution of secure worker at the rate of 6% which should be up to Rs.
5000/- more than the minimum wages fixed by the government.
b) SELF-ASSESSMENT SCHEME
Accordingto Social security Actitis the legal responsibility of the employerwhoadopts thisscheme that
he should payeverymonthcontribution of everysecuredworkeratthe rate of 6% of the wagesfixed by
the Government whereas every employee included in the scheme will be bound to pay Rs 40/- every
month, his contribution through the employer. Under the Act 2018 which employer establishment
adoptingself-assessmentschemewillbe exemptedfrom the annual audit of Social Security for 2 years.
CONTRIBUTION SCHEDULE
Accordingto rules1966 of Social SecurityContribution the employersare boundtodepositContribution
Schedule (C-1) in a local directorate of Social Security with payments of contribution. It is lawful
responsibility of the employer. This schedule contains names of commercial establishment, its
registration No., names of secured workers, its status, wages , amount of contribution and social
securityNo,etc., onthe basis of these particularsprivilegeof secured workersis scrutinizedfor payment
of cash payments.
According to rules of contribution it is incumbent upon the employers that they keep in their custody
SalariesRegisterorclearand legible photocopyof ContributionSchedulesafe in their record at least for
two years and present him for inspection to authorized offer of social Security on his request.
DURATION OF CONTRIBUTION
Payment of Social Security Contribution is made on monthly basis. Contribution of any month can be
paidto SESSI at the mostthe lastdate of nextmonth.Forexample,due contribution of May can be paid
on 30th
June,itslast limit.Paymentafterthiswill be consideredlate andonthisadditional amountwillbe
realized from the employer.

22. APPLICATION OF INCREASE ON ACTUAL AMOUNT OF CONTRIBUTION
If any employer doesn’t deposit his Social Security contribution for a fixed period, his due amount of
contribution will be increased at the rate of ½ % on daily basis. The employer is bound to deposit the
contributionplusadditional amountinSESSI.However, incaseof defaultsuchemployer is issued notice
of payment from the local directorate. Thenotice reminds the employer to pay contribution with
additional fixed amount in the local directorate.
NAME OF LOCAL DIRECTORATES
1. SITE (West)
2. SITE (East)
3. City/ West Wharf
4. F.B. Area
5. Landhi
6. Korangi
7. Kotri
8. Hyderabad
9. Sukkur
CONCLUSION
An autonomousbodywork forthe welfare of laborclass. It aims at providing medical care facilities and
cash benefitstothe secured workersandtheirdependents. Deals with unfair labor practices.According
to Social SecurityActit islawful responsibilityof the employerstonotifiedestablishments that they pay
the contribution of every employee who is entitled of the registration under the law of the
establishment at the rate of 6% according to fixed rate and fixed time period. If any employer doesn’t
deposit his Social Security contribution for a fixed period, his due amount of contribution will be
increased at the rate of ½ % on daily basis.

23. INTERVIEW QUESTIONS
What is SESSI?
Where do you get your earning/funds to run organization?
Eligibility of employees to registered with SESSI?
Your contribution for society?
Where your trade union I registered?
Main problems of SESSI?
Your main focus?
How employees can reach you out if they have any complaint?
Any changing which is being practicing now?

24. ORGANOGRAM