Sunday, July 26, 2026

Billions at Stake: SWWB Engulfed in Corruption Scandal Over Unauthorized Projects

Date:

 

Karachi | 31 July 2025
Credible Post Desk

A storm of controversy has erupted around the Sindh Workers Welfare Board (SWWB) following allegations of large-scale corruption and unauthorized financial dealings amounting to billions of rupees—raising serious concerns about transparency and governance.

According to sources, the SWWB has initiated major projects without obtaining the mandatory approval of its governing body, a blatant violation of rules intended to protect the rights and welfare of laborers and their families.

Most concerning is the reported decision to transfer Rs 8 billion to a private insurance company for healthcare services—an area that legally falls under the Sindh Employees Social Security Institution (SESSI), not the SWWB. SESSI already handles healthcare for over 700,000 registered workers and operates with an annual budget exceeding Rs 20 billion.

Adding to the scandal is the launch of a Rs 3 billion electric bike scheme for 10,000 units, allegedly initiated by the SWWB Secretary without any formal approval.These unauthorized ventures have triggered a strong backlash from within the organization itself.

Six members of the SWWB governing body have formally objected to these moves in two separate letters addressed to both Labor Minister Shahid Abdul Salam—who also serves as the Board’s Chairman—and the Board’s leadership. They have voiced their serious reservations and disapproval, stating they were neither consulted nor included in any decision-making process. The members also condemned the Labor Minister’s apathy, accusing him of ignoring repeated concerns and failing to take corrective measures.

To make matters worse, a labor rights activist has filed a legal case against the SWWB Secretary, alleging dual office occupancy—simultaneously holding the position of Secretary in both the SWWB and the Labor Department, which could constitute a conflict of interest and violation of service rules.

This explosive situation lays bare a pattern of mismanagement, a lack of oversight, and possible misappropriation of funds meant to uplift and support the labor community—diverted instead to high-profile but legally questionable projects.

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