State Bank of Pakistan Fined Rs500,000 for Denying Paternity Leave Under Maternity and Paternity Leave Act

The Federal Ombudsperson for Protection Against Harassment of Women at the Workplace, Fauzia Viqar, has imposed a fine of Rs500,000 on the State Bank of Pakistan (SBP) for unlawfully denying paternity leave to a male staff member, declaring the action a violation of workplace rights and gender-based discrimination, according to reports. The decision underscores growing scrutiny on workplace policies in Pakistan and emphasizes the enforcement of the Maternity and Paternity Leave Act 2023.

The case originated when a staff member of the SBP Banking Services Corporation requested paternity leave, which was subsequently denied by the bank. SBP officials cited the “non-existence” of a formal policy as the reason for rejection, despite the law explicitly providing for 30 days of paternity leave. The denial prompted the employee to file a formal complaint with the Federal Ombudsperson, seeking redress for what was deemed a violation of both statutory and constitutional workplace rights.

In her detailed ruling, Fauzia Viqar stated that the refusal of paternity leave constituted harassment and discrimination, asserting that caregiving responsibilities should not be confined to women alone. She highlighted that denying male employees the right to paternity leave undermines shared parental responsibilities and can negatively impact maternal health. Her remarks reflect a broader push in Pakistan toward gender-neutral workplace policies that recognize the role of fathers in child-rearing.

Viqar also referenced Article 38 of the Constitution, which obliges the state to ensure equitable treatment for all citizens without discrimination. She dismissed SBP’s defense of institutional autonomy, stressing that as a federal government-owned and supervised institution, SBP cannot circumvent federal welfare legislation. According to Viqar, selective enforcement of leave laws—granting maternity leave while denying paternity leave—perpetuates outdated gender norms and violates constitutional guarantees of equality, dignity, and fairness.

As part of the ruling, SBP has been instructed to pay Rs400,000 in compensation to the complainant and Rs100,000 to the government exchequer. The bank must also grant the 30-day paternity leave with full pay and revise its leave policy to align fully with the Maternity and Paternity Leave Act 2023. The ruling sets a significant precedent for other federal institutions, emphasizing that compliance with welfare and labor laws is mandatory, even for organizations claiming operational autonomy.

Fauzia Viqar cautioned that failure to adhere to federal workplace legislation could result in legal consequences for discriminatory practices, reinforcing the principle that gender equality and labor rights are integral to Pakistan’s employment framework. This ruling marks a noteworthy step in advocating for inclusive workplace policies and ensuring that federal institutions uphold the rights of all employees, regardless of gender. It also signals a broader institutional shift toward recognizing shared parental responsibilities and modernizing workplace norms in the country.

This development has attracted attention from labor rights groups, gender equality advocates, and the banking sector, highlighting the importance of updating organizational policies to meet statutory obligations and societal expectations. By enforcing these standards, the Federal Ombudsperson’s office reinforces accountability and promotes a more equitable work environment across Pakistan’s public institutions.

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