Govt, workers, employers in pay hike talks

KATHMANDU, APRIL 30 -As the world celebrates the May Day on Wednesday, the government, employers and trade unions are holding talks for increasing the minimum wage of workers.

With the inflation rate reaching around 10 percent, trade unions have been pressuring the government set the minimum salary at Rs 12,000. The common forum of seven trade unions — Joint Trade Union Coordination Centre (JTUCC) — is also positive on inflation-based salary hike.

The unions said the minimum wage should be fixed in such a way that the salary would be sufficient for a worker to live with a family. “Our study has shown that a worker needs at least Rs 12,000 per month for living a normal life,” said Bishnu Rimal, president of the General Federation of Nepalese Trade Unions (GEFONT).

All Nepal Trade Union Federation (ANTUF) has also been demanding the government fix the minimum monthly salary at Rs 12,500.A tripartite committee Minimum Wage Determination Committee formed by the government a month ago is doing homework in this regard. The committee has been given a two-month time to fix the minimum salary of industrial workers, except for those working in tea estates.


As per the Labour Act 1992, workers’ minimum salary is reviewed every two years. Last time, the pay was revised in March 2011 and was fixed at Rs 6,200 per month. Similarly, the daily wage was fixed at Rs 231.

The Ministry of Labour and Employment said the committee has prepared a work plan and will complete the job in time.

The panel inclu-des officials from the Labour Ministry, Labour Department and representatives from trade unions and representative organizations of employers’ organisations—Federation of Nepal-ese Chambers of Commerce and Industry, Nepal Trade Union Congress Independent, GEFONT, and ANTUF.

Employers said workers have the right to put forth their demands for salary hike, but by how much the pay will be increased will be decided by the tripartite committee. “The real hike will be decided by the committee based on its study,” said FNCCI Vice-president Pasupati Murarka.

According to Rimal, they have also given the option to the government for increasing workers’ salary through a collective bargaining. The JTUCC, apart from demanding for pay hike, is also demanding the government start social security schemes such as health care, maternity and pension.

Currently, the government has around Rs 4 billion in the Social Security Fund, which it has not been able to utilise due to the lack of the Social Security Act.

Events planned for May Day

KATHMANDU: Trade unions are marking the 124th Labour Day (May Day) on Wednesday organising various programmes across the country. The GEFONT and the Confederation of Nepalese Professional (CONEP) are jointly celebrating the May Day under the slogan “Change by building workers’ power”. The ANTUF and NTUC-I are also organising rallies and mass meetings separately to mark the day.

Union leaders said despite the improved situation in the industrial sector, the government and employers have not been serious in addressing labour issues, ensuring their rights and increasing employment.

Salikram Jammarkattel, president of the ANTUF, said the domestic labour market has been facing problems due to the favourable policy and indifference of the private sector.