The National Insurance Company Limited (NICL) has increased 'withheld' basic pay of its employees, excluding officers, wef, January 1, 2017, reportedly after the suicide of an employee in Multan due to financial constraints, insiders in the NICL told Business Recorder.

On November 21, 2019, Zaheer Abbas, Record Sorter, Multan branch committed suicide as he was not getting salary for the last three or four months and facing acute financial constraints.

One of the CBA officer-bearers confirmed that the employee who committed suicide was highly disturbed due to financial woes.

As this news spread in the offices of NICL across the country, Collective Bargaining Agents (CBAs) began protests in all offices which put the administration on the defensive. The administration feared that if the protests continue for long time, the government will be in deep trouble.

Sensing worse scenario in coming days, the administration issued an office order regarding increase in employees' pay.

The office order of November 22, 2019 says "consequent upon the execution of agreement 2017-18 between the management of NICL and NICL Employees Union (CBA) duly approved by the competent authority, the management is pleased to effect increase in basic pay @ 15 percent with effect from January 1, 2017 to December 31, 2018 and allowance as admissible and agreed between the parties and as incorporated in the said agreement for implementation and fixation accordingly."

The employees had lodged complaints against the behaviour of the CEO NICL and Zonal Chief Islamabad. The bills of employees were not being cleared as per the stipulated criteria. Both were not available for comments.

NICL was considered a financially corrupt and mismanaged organisation in the past and its former CEO was recently exonerated. However, a key accused in billions of rupees scam is still at large.