KATHMANDU: A recent report from the General Federation of Nepalese Trade Unions (GEFONT) has shed light on a troubling development: 21.7% of industrial enterprises in Nepal are failing to pay their workers the minimum wage, representing a six percent increase compared to previous years. GEFONT presented the Labour Audit Report- 2080 BS during a press conference, emphasizing the harsh realities confronting laborers and daily wage workers across the nation.
Despite the government's establishment of a minimum wage of Rs 17,300 per month, the report underscores a concerning lack of compliance with this regulation. According to GEFONT's findings, the situation has worsened over time. In 2079 BS, 15.30% of industrial establishments were reported to have failed in paying the minimum wage, a figure that climbed to 21.7% in 2080 BS. Additionally, a significant 72.6% of companies did not provide the minimum wage and overtime benefits to workers employed through labor outsourcing agencies in 2080 BS.
The report sounds an alarm about the increasing exploitation of laborers, emphasizing that the situation is approaching a critical juncture. While the Labour Act-2074 BS mandates limits on working hours - no more than eight hours a day and 48 hours a week - effective enforcement remains lacking. However, there is a glimmer of hope in the form of a reduction in industries employing child labor, with the percentage dropping from 0.75% in 2079 BS to 0.6% in 2080 BS.
GEFONT's President, Binod Shrestha, presented a 25-point declaration prepared by the union ahead of International Labour Day on May 1. The declaration includes demands for initiatives such as orientation sessions for laborers regarding the social security fund, strict enforcement of minimum wage provisions, and the removal of obstacles preventing legal action against forced labor court transfers, among others.
Janmadev Jaisi, Chairperson of the Working Journalist Association, attributed the economic challenges in Nepal to the syndicate system in the industry and political instability, emphasizing their disproportionate impact on daily wage workers. The union's proactive efforts to address the lax implementation of the Labour Act-2074 BS underscore the pressing need to safeguard the welfare and rights of workers across Nepal.
