Labour law, also known as employment law, governs the rights and responsibilities of workers, employers, and labor organizations. It encompasses a wide range of issues including wages, working hours, workplace safety, discrimination, and the rights to organize and bargain collectively. It seeks to promote a fair and equitable workplace environment, contributing to overall social and economic stability. Labour law also addresses the mechanisms for resolving disputes and provides guidelines for maintaining harmonious industrial relations. Here are a few legal provisions concerning labour law in Nepal:
- Trainees/Apprentices: Apprentices are subject to a maximum of eight hours of work a day and forty-eight hours a week. Occupational health and safety provisions applicable to regular laborers also apply to apprentices. If an apprentice is injured while performing work, the enterprise must provide medical treatment and compensation unless otherwise agreed with the educational institute. Other matters are governed by the agreement between the enterprise and the educational institute.
- Remuneration Payment: Employers must pay remuneration according to the employment contract. If no such provision is specified, the payment time is determined by the employer. For laborers working less than one month, payment must be made within three days after the work is completed. Casual laborers must be paid immediately after the work is completed. The interval between remuneration payments must not exceed one month.
- Remuneration Increment: Laborers who complete one year of service are entitled to an annual increment in remuneration. This increment must be at least half a day's remuneration based on the monthly basic pay.
- Maternity Leave: Pregnant female laborers are entitled to maternity leave totaling fourteen weeks, to be taken before or after delivery. They must take mandatory leave from at least two weeks before the expected delivery date to at least six weeks after delivery. During maternity leave, they will receive full pay for sixty days, with the remaining period being unpaid. If a recognized medical doctor recommends additional rest for the mother or baby's health, the employer must approve unpaid leave for up to one month or adjust it with other leave, in continuity with maternity leave. In cases of miscarriage or stillbirth after seven months of pregnancy, the laborer is entitled to leave as if it were a normal delivery. If the mother dies within sixty days of giving birth, the father may take paid leave for the remaining period for child care. Male laborers are also entitled to fifteen days of paid leave if their wife is delivering a baby.
- Overtime: Employers are prohibited from compelling laborers to work beyond the prescribed hours. Exceptions are allowed if not performing the work would cause serious loss, damage, or risk to health and safety. Laborers may be required to work overtime, but it must not exceed four hours a day and twenty-four hours a week. Overtime is considered work performed without substitute leave. Overtime pay must be 1.5 times the regular rate. Collective agreements may provide alternative benefits for managerial-level laborers instead of additional remuneration for overtime.
- Strike and Lock-out: Laborers involved in illegal strikes are not entitled to remuneration for the strike period. However, if the lock-out is initiated by the employer illegally, laborers are entitled to full pay. For legal strikes or lock-outs, laborers will receive half pay unless otherwise specified in collective agreements. The Department must resolve disputes on the legality of strikes or lock-outs within thirty-five days.
- Domestic Labour: The government may set separate minimum remuneration for domestic laborers. Public leave, weekly leave, and other related provisions are to be prescribed. Employers can deduct the costs of food, shelter, or educational assistance from the remuneration of domestic laborers. Domestic laborers must be allowed to celebrate festivals according to their cultural, religious, or traditional practices.
- Employment of Foreigners: Employers needing foreign labor must obtain a work permit from the Department. Before hiring foreign labor, employers must advertise in a national daily to find Nepali labor. If no suitable Nepali laborers apply, employers may apply for a work permit for foreign labor, providing evidence of the need. The Department may issue work permits after verifying the necessity. Employers must train Nepali citizens to gradually replace foreign labor. Fees for work permits are as prescribed.
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