PESSI / SESSI vs EOBI Difference 2026: Coverage, Rates & Registrationای او بی آئی بمقابلہ پیسی اور سیسی: پنشن، مفت علاج اور قانونی رجسٹریشن کا فرق
In Pakistan's private sector, workers and employers frequently confuse EOBI with provincial social security institutions like PESSI (Punjab) and SESSI (Sindh). They are neither competitors nor interchangeable alternatives. Both are legally mandatory under separate statutes—one protects your retirement, while the other protects your health today.
How to Check or Verify: Are EOBI and PESSI / SESSI the Same Thing, and Which One Is Mandatory?
EOBI is federal and provides monthly retirement pensions, while PESSI (Punjab) and SESSI (Sindh) are provincial and provide free medical treatment and injury coverage at Social Security Hospitals. They are two separate, both-mandatory statutory schemes: employers with 5 or more workers must enroll staff in both simultaneously, not pick between them.
This is completely false. EOBI does not operate clinics, dispense prescription medicines, or cover surgeries. If you fall ill, sustain a workplace injury, or require maternity admission, EOBI provides zero healthcare. Medical benefits require active enrollment in your provincial institution (PESSI in Punjab, SESSI in Sindh, KP ESSI in KP, or BESSI in Balochistan). Similarly, provincial social security institutions will never pay you a monthly old-age pension when you retire at age 60.
EOBI vs PESSI & SESSI: Core Structural Differences
Comparing legal authority, primary benefits, monthly contribution shares, and portals
EOBI (Employees’ Old-Age Benefits Institution)
Federal Pension & Old-Age Security System
Long-term financial security for private workers after age 60
PESSI / SESSI (Provincial Social Security)
Provincial Healthcare, Injury & Maternity System
Immediate medical treatment, maternity care, and workplace accident protection
Contribution Rates, Payroll Deductions & Minimum Wage Base
One of the most exploited loopholes in private companies is employers deducting arbitrary percentages from workers' gross salaries under the guise of "government social security." Here is the strict statutory calculation you need to know:
- Employee Share: Exactly 1% of the government-notified minimum wage.
- Employer Share: Exactly 5% of the government-notified minimum wage.
- Not on Gross Salary: If your monthly salary is PKR 90,000, your EOBI deduction is NOT calculated on PKR 90,000. It is calculated strictly on the statutory minimum wage base.
- Current 2025–2026 Estimate: At a standard minimum wage of PKR 40,000/month, the employee deduction is PKR 400/month, and the employer pays PKR 2,000/month (total monthly deposit: PKR 2,400).
- Employee Share: 0% (Zero). By law, employers cannot deduct a single rupee from worker salary for provincial social security.
- Employer Share: 6% paid entirely by the employer (SESSI confirmed via Sindh Act 2016 Section 20; PESSI follows the standard 6% employer contribution model).
- Illegal Salary Deductions: If your monthly payslip shows a line item "PESSI Deduction: Rs. 1,500" taken from your salary, your employer is violating provincial labor law.
- Monthly Deposit: On a PKR 40,000 base, the employer deposits PKR 2,400/month directly to the provincial social security treasury for your healthcare card.
Under Pakistan's 18th Constitutional Amendment, labor and minimum wage are provincial subjects. While recent budget cycles (2024–2026) saw federal and provincial minimum wages converge around PKR 40,000 per month across Islamabad (ICT), Punjab, Sindh, and Khyber Pakhtunkhwa, each provincial Minimum Wages Board issues independent gazette notifications. Furthermore, provincial institutions enforce varying "wage ceilings" (for example, PESSI historically covered employees earning up to a notified wage ceiling, though contributions are calculated on the minimum statutory wage). Always verify the latest gazette notification applicable to your specific province on pessi.punjab.gov.pk or sessi.gov.pk.
How Dual Registration Works: From Employer Onboarding to Worker Claims
The chronological journey of compliant business enrollment, contribution deposits, and benefit usage
Employer Business Registration
Any enterprise employing 5 or more persons is legally mandated to register with EOBI (using Form PR-01) and with the respective provincial ESSI (PESSI Form R-1 or SESSI portal) within 30 days.
Individual Worker Enrollment
The employer registers each employee by submitting their 13-digit CNIC. EOBI generates a permanent Insured Person (IP) number (Form PE-01). The provincial ESSI creates a medical file for the worker and their family.
Monthly Contribution Deposit
By the 15th of each month, the employer generates electronic payment challans: 5% employer + 1% worker for EOBI, and 6% employer-only for PESSI/SESSI, deposited via National Bank (NBP) or 1Link.
Worker Receives Registration Cards
Workers are issued their permanent EOBI registration certificate and their provincial Social Security Medical Card (or Sindh’s digitized Benazir Mazdur Card built with NADRA) for treatment.
Verification & Claiming Benefits
Workers verify their contribution track record on eobi.gov.pk. Immediate medical care, free lab tests, and medicines are claimed at ESSI hospitals, while monthly pension starts at age 60.
Compliance Checklist: Who Must Register & How Workers Check
- The 5+ Employee Trigger: Under Section 1(4) of the EOB Act 1976 and provincial social security laws, any factory, office, shop, or commercial establishment with 5 or more employees is legally required to register.
- Once Covered, Always Covered: If your company employed 7 staff members and registered, and later downsizes to 3 staff members, your establishment remains legally covered under EOBI law.
- Dual Registration is Mandatory: You cannot tell a labor inspector "we registered with EOBI so we skipped PESSI." Defaulting on provincial social security invites recovery notices, bank account attachment, and fines under provincial labor enactments.
- Strict Deduction Cap: Employers cannot deduct the 6% PESSI share from workers. Only 1% for EOBI may be deducted from the employee.
- Check EOBI by CNIC: You do not need to ask your manager if they pay your pension. Go directly to
eobi.gov.pk> Individual Information > Insured Person Details, and enter your 13-digit CNIC to see all contributed months. - Demand Your Social Security Card: Your employer must provide you with a Social Security Medical Card (R-5 Card in Punjab) or a Benazir Mazdur Card (Sindh). This card covers you, your spouse, and dependent children.
- Portability When Switching Jobs: When changing jobs, always hand your permanent EOBI IP number to your new employer. Your pension contribution counter must not restart from zero.
- Audit Payslip Deductions: Look at your monthly salary slip. If the deduction exceeds 1% of statutory minimum wage (approx. PKR 400/month), request clarification from payroll immediately.
Provincial Social Security Directory: Portals, Status & Digitization
| Province & Institution | Governing Law | Hospital Network & Coverage | Digitization / Card Status | Official Portal |
|---|---|---|---|---|
| Punjab: PESSIPunjab Employees Social Security Institution | PESS Ordinance 1965 | 20+ Social Security Hospitals, 200+ dispensaries across Punjab | Active Online E-Payment & Smart Cards | pessi.punjab.gov.pk |
| Sindh: SESSISindh Employees' Social Security Institution | Sindh ESS Act 2016 (Sec. 20) | Major teaching hospitals in Karachi, Hyderabad, Kotri, Sukkur | Benazir Mazdur Card (NADRA Smart Card) | sessi.gov.pk |
| KP: KP ESSIKhyber Pakhtunkhwa ESSI | KP PESS Act & Rules | Hospitals & medical units in Peshawar, Hattar, Gadoon industrial areas | Semi-Digital / Industrial Rollout | kpssi.gov.pk |
| Balochistan: BESSIBalochistan ESSI | Balochistan PESS Enactments | Facilities in Quetta and Hub Industrial Trading Estate (HITE) | Manual & District Registration | bessi.gob.pk |
SESSI partnered with NADRA to launch the Benazir Mazdur Card (BMC), designed to eliminate counterfeit paper medical vouchers by linking worker identities to biometric NADRA chip cards. While successfully deployed across Karachi, Nooriabad, and major industrial belts, please note that small enterprises in interior Sindh may still issue standard green paper registration cards while phased digital biometric onboarding continues.
Related Welfare, Pension & Healthcare Guides on Pakistan Info Hub
EOBI Pension Check by CNIC 2026
Verify insured person records, contribution history, and minimum pension rates (Rs. 10,000–11,500).
Federal WelfareBISP 8171 Eligibility Check
Check family poverty score and quarterly Benazir Kafaalat financial assistance status online.
Universal HealthcareSehat Card Eligibility by CNIC
Explore provincial universal health insurance coverage across Punjab, KP, Balochistan, and ICT.
Frequently Asked Questions (PESSI, SESSI & EOBI Distinction)
Clear, honest answers addressing workplace registrations, salary cuts, and benefit claims
Both are legally mandatory for qualifying private employers. EOBI and provincial ESSIs (PESSI in Punjab, SESSI in Sindh, KP ESSI, BESSI in Balochistan) operate under separate statutes. Registering for EOBI does NOT exempt an employer or employee from provincial social security, and vice versa. They serve completely distinct functions: EOBI provides retirement pensions, while PESSI/SESSI provides day-to-day healthcare, hospitalization, and workplace injury protection.
Official Statutory Authorities & Acts Cited:
Employees’ Old-Age Benefits Act 1976 (Federal Legislation): https://pakistancode.gov.pk/Employees’ Old-Age Benefits Institution (EOBI Official Portal): https://www.eobi.gov.pk/Punjab Employees Social Security Institution (PESSI): https://pessi.punjab.gov.pk/Sindh Employees’ Social Security Institution (SESSI Official Portal): https://sessi.gov.pk/Khyber Pakhtunkhwa Employees Social Security Institution (KP ESSI): https://kpssi.gov.pk/Balochistan Employees’ Social Security Institution (BESSI): https://bessi.gob.pk/