Brick kiln industry

Brick kiln industry is notorious for bonded labour issue. Much has been written and legislated about it. In this article, I would like to take a more comprehensive look into this sector in terms of following three issues: (i) bonded labour; (ii) pollution; and (iii) land degradation. The combined impact of these issues is nothing less than a curse.
There are estimated 12,000 kilns, mostly in Punjab and Sindh employing 2.3 million workers (almost all of them under bonded labour and 50% of them not having any NICs) and contributing 3% to GDP .The sector consumes 3 million tonnes of coal, both imported and local, under highly energy inefficient conditions and creating extreme pollution in terms of black smoke, particulate emission and CO2.Its coal consumption is second only to the cement sector which consumes 4.7 million tonnes per annum under probably much better environmental conditions. In addition to creating pollution, brick kilns use the fertile top soil up to one meter deep causing land degradation and loss of biodiversity.
Bonded labour has been declared illegal since 1997. All indebtedness of bonded labour has been brought to nil. But bonded labour persists due to lack of enforcement and apathy of successive governments. Bonded labour is not limited to brick kilns only but is certainly the largest employer of the bonded labour. If one had the power and choice , this sector is perfectly suitable to be shut down. But we need bricks to build houses and after all more than 2 million people are employed, albeit in some of the worst conditions.
Industrial sectors normally improve themselves in terms of technology, productivity, working conditions and wages, etc. If they don't, workers stop joining them and such industries become extinct. What has happened in the brick kiln sector is that it has not changed itself at all but has managed to survive, due to the following two factors: Firstly, unemployment and poverty have persisted which force labour to join such deplorable sector; secondly, this sector has adopted the deplorable institution of bonded labour to coerce the workers to remain in life time employment with under-payments and perpetual indebtedness.
Stick of the law has not been enough to stop bonded labour in this sector, although if enough political pressure is put on governments by the civil society to implement and enforce the law, quite some improvement can be brought about. However, assuming that governments may not be impelled to do so for a variety of reasons such as feudalism and power and influence of employers, some carrot instruments may have to be explored.
A certification scheme could be introduced which certifies individual producers in terms of several objectives and performance factors as the following:
1. The producer does not indulge in bonded labour practices or joins programmes for improvement of the situation under a targeted programme.
2. The producer employs decent working conditions or joins programmes for improvement in working conditions under a targeted programmes
3. The producer gradually improves its technology to improve its environmental performance in terms of energy efficiency, emissions levels and top soil preservation
All these improvements cost money and may be capital intensive. Such certification schemes have to be accompanied by technology demonstration and assistance programmes and cheap and easy credit. Also market may have to be created for the bricks that are produced under responsible conditions, and may be somewhat expensive.
The government and businesses may undertake to buy only from certified producers at a price premium. Contract production under piece rate system in the sector may have to be replaced by monthly salary under the minimum wage law. Economics of the sector may have to be studied and a floor (minimum) price of the bricks may have to be introduced, although some experts believe that it is quite a profitable sector with a payback period of less than two years. A proper and objective study has to establish the economics and profitability so as to be able to introduce price support as mentioned earlier.
Perhaps many steps and initiatives may have to be explored; encouraging mergers and acquisitions and forming of larger companies that are able to invest in capital-intensive modernization; product diversity and competition; fly ash based blocks that do not require baking. With the advent of coal-fired power plants, ash will be produced and will create disposal problems. Brick making from ash would solve this problem. Consideration may be given to install brick making plants adjacent to or in the premises of coal power plants. It is not very clear if some sort of licensing or permission is required for locating a brick-kiln. Strict rules should be introduced in this respect so as to have a handle on this industry.
Except for one or two smaller studies, no significant intervention or assistance has been provided to the sector, either by government or by others. The UNDP or/and other multilateral institutions and NGOs may be able to initiate a sector improvement programme for the improvement of the brick kiln sector in collaboration with appropriate government agencies and other stakeholders. Brick Kiln sector is relevant to the following UN SDG coals:
Decent work and economic growth (Goal 8)
End poverty (Goal 1)
Clean water and sanitation (Goal 6)
Affordable and clean energy (Goal 7)
Climate action (Goal 13)
Life on land (Goal 15)
Peace, justice and strong institutions (Goal 16)
A similar UNDP programme is already operational in India where this sector suffers from the same issues as in Pakistan, although the Indian programme is focused around energy efficiency as being conceived before SDG initiative. Being late in Pakistan can have its advantage of launching a more comprehensive programme as has been proposed here.
In passing, may I also include a few lines on the need of bringing construction workers into some kind of social safety cover? I have seen erstwhile construction workers being pushed by circumstances to beggary. Disability and early retirement due to hard working conditions push them out of any earning source. Construction industry is also derelict in fulfilling its responsibility towards safety and social cover. Construction workers are not covered under any social safety net programme like EOBI. Construction industry is quite complicated and fragmented. Except for a limited number of large and registered companies, bulk of the employers are in thousands.
It also includes owner-builders who build their houses. Construction workers typically work on daily wages devoid of any social cover. What is common among all construction workers is that in their work cement is used. Cement is produced by large companies. It would be relatively easy to recover any cess that is applied to collect some kind of social charge, equivalent to EOBI. A 1-2% social cess on the ex-factory sales value of cement may generate enough money to cover construction workers. Construction workers may have to register themselves under the proposed social cess programme in order to be eligible to benefit from this programme. I also have some good ideas for bringing household workers like masis and chowkidars and khansamas under a social safety net, on which I will be making some submissions later in this space.
The government, political parties and civil society should take interests on these issues. After the demise of the Soviet Union, the international pressures on improvement of working conditions have gone down substantially .Present government is business friendly.
However, parties like PPP should have taken more interest in this, as they still claim that they are a party of workers and the poor. It would be good politics of all political parties to prioritize this into their agenda and election manifestoes.
(The writer is a former Member Planning Commission)