How Do I Register For Social Security After Company Registration In Pakistan?

Once a Company Registration In Pakistan is done through the Securities and Exchange Commission of Pakistan (SECP), the next critical step—especially for businesses that plan to hire employees—is to register for social security. This ensures compliance with Pakistan’s labor laws and provides employees access to essential benefits like medical care, pensions, and insurance.

In Pakistan, social security is managed at the provincial level, meaning each province has its own Social Security Institution (SSI) responsible for overseeing contributions, benefits, and compliance. Here's a detailed guide on how to register your company for social security after incorporation.

What Is Social Security in Pakistan?

Social security in Pakistan refers to the statutory employee benefit system that covers workers for various health and financial protections. The key objectives include:

• Medical care for employees and their dependents

• Maternity benefits for women workers

• Injury and disability compensation

• Sick leave compensation

• Survivor pensions

These benefits are administered by provincial institutions such as:

• Punjab Employees Social Security Institution (PESSI)

• Sindh Employees Social Security Institution (SESSI)

• Balochistan Employees Social Security Institution

• Khyber Pakhtunkhwa Employees Social Security Institution (KPESSI)

Company Registration In Pakistan

Who Needs to Register?

Every company in Pakistan that employs five or more employees (in most provinces) is legally obligated to register for social security. However, companies with fewer employees are encouraged to register voluntarily for compliance and employee welfare.

Step-by-Step Guide to Social Security Registration

1. Prepare Required Documents

To begin the Company Registration in Lahore, gather the following documents:

• Certificate of Incorporation from SECP

• National Tax Number (NTN) certificate

• Bank account details

• Employee list with CNICs, joining dates, and salaries

• Business address and tenancy agreement or ownership documents

• Employer’s CNIC copy

• Organizational structure or business nature information

2. Visit the Relevant Social Security Office

The company must approach the provincial social security office based on the location of its operations. For example:

• Companies based in Lahore will approach PESSI

• Companies in Karachi will approach SESSI

Some provinces also allow online registration, particularly Punjab and Sindh, through their respective websites.

3. Submit Application and Forms

The company must submit a registration form (usually Form 1) along with all supporting documents. The form collects essential information about the employer, number of employees, and nature of business.

4. Employer Code Allocation

Once verified, the Social Security Department issues a Social Security Registration Certificate and an Employer Code Number. This code is used to file contributions and for future communication with the department.

Monthly Contributions

Employers are required to deposit social security contributions monthly. The rate is:

• 6% of the employee’s gross salary (paid entirely by the employer)

• No contribution is deducted from the employee’s salary

These payments are made through designated bank branches using a prescribed challan form, and proof of payment must be submitted to the social security office.

Employee Registration

After employer registration, each eligible employee must be registered by submitting:

• Employee registration form

• Copy of CNIC

• Passport-size photo

• Proof of employment

Registered employees are issued a Social Security Card, which enables them to avail of medical and other benefits from government-recognized hospitals and dispensaries.

Benefits of Social Security Registration

• Legal compliance under labor laws

• Access to medical and maternity facilities for workers

• Coverage for injuries, disabilities, and death

• Enhanced reputation and employee satisfaction

• Eligibility for other benefits like the Workers Welfare Fund (WWF) and EOBI

Company Registration In Pakistan

Penalties for Non-Compliance

Failure to register for social security or to make timely contributions can result in:

• Fines and penalties

• Legal action by labor inspectors

• Disqualification from public or government tenders

Conclusion

Registering for social security after company registration in Pakistan with the help of Hamza & Hamza Law Associates is not just a legal requirement—it’s a step toward building a responsible and employee-friendly business. The process, though administrative, is relatively straightforward when you have the necessary documents and understanding of the system. By ensuring compliance, companies can safeguard their workforce, enhance their credibility, and avoid future legal troubles.