Charter of the Economy 28.3. Workers’ Benefits and Programs There is need for providing more benefits to workers and launching special support programs as follows: • There should be the requirement of a Group Insurance Scheme to cover death or injury of workers. • The EOBI covers 8.7 million persons currently, and old age benefits are being given to only 640,000 persons. The total value of benefits was Rs 10.7 billion few years ago. The insurance payment was Rs 11 billion by employers. The minimum pension is Rs 8500 per month. The coverage of social security is very limited. The Provincial Governments may consider establishment of a pension scheme for workers in the Province. Following the transfer of the labor function to the Provincial Governments, revenues from the Workers’ Welfare Fund(WWF) should be used to finance the pension schemes at the Provincial level rather than accrue to the Federal Consolidated Fund. • The Worker’s Profit Participation Fund(WPPF) revenues should also no longer accrue to the Federal Consolidated Fund. It may be made a profit-sharing scheme at the enterprise level. • There is need for establishing the following special programs: » » A conditional cash transfer program through the EHSAAS Program for mothers to send their child to school rather than to work. » » A special financing scheme to facilitate the establishment of female putting out systems in proximity to cities. » » Special line of credit for women entrepreneurs. 28.4. Fiscal Incentives for Employment Two special fiscal incentives are already in place for promoting employment, as follows: INCENTIVE – I SPECIAL FISCAL INCENTIVES INCENTIVE – II For relatively new enterprises, a special incentive has been provided under Section 64B of the Income Tax Ordinance(ITO) for employment generation. For every 50 jobs created, a 2 percent tax credit is admissible For hiring of graduates, a tax credit has been offered under Section 64C of the ITO, equivalent to the effective tax rate applied on the graduate’s salary 298