| Labour Act, 2048 was applicable only to the entity where 10 or more employees or workers were engaged in the work. The Act includes 11 chapters and 92 sections. The objective of the act was to make timely provisions relating to labour by making provisions for the rights, interests, facilities and safety of workers and employees working in enterprises of various sectors. The act includes the provision of engaging the minors in the work along with the specification on time i.e. 6 am to 6 pm, the act also states that a women with her consent can be involved in work similar to men. The act does not list out the types of employments. The power of classifying jobs is vested on the proprietor according to the nature of production process, service or function of the enterprise. The act compels the employer to provide an appointment letter to an employee before employing him/her to the work. According to the act the one shall be kept on probation period unless he/she completes the continuous service period of one year.There is no provision for a trainee according to the act.The act prohibits the employment of a non-Nepalese except when a Nepalese citizen could not be available for any skilled technical post. The maximum overtime limitation according to this act was 4 hours per day and 20 hours per week. The act includes the provisions related to leave which includes public holidays, sick leave, annual leave, maternity leave, obsequies leave, special leave, with remuneration or without remuneration leave, etc. There is no detail of the leave. The act does not include any provisions related to Outsourcing in the previous Labor act. The act does not include any provisions on providing festival expenses to the employees. 5% of gross profit is allocated to provide housing to the worker/employees. The act does not include any provisions for Medical insurance and accidental insurance. The act does not have any provision on conditions for deduction of one day’s remuneration. There were no such provisions related to Sexual Harassment in the previous Labor act. | Labuor Act, 2074 is applicable to all entities regardless of number of workers/employees. The Act includes 24 chapters and 183 sections. The objective of the act includes the following:to amend and consolidate the laws relating to labor in order to provide for rights, interests and benefits of labours, to develop good labour relations by making explicit provisions on the rights and duties of labours and employers andto increase productivity by ending all forms of labour exploitation The Act prohibits the engagement of child in the work, similarly the act also prohibits forced labour, discrimination (on grounds of religion, colour, sex, caste, tribe, origin, language, ideological conviction or other similar grounds. The act lists out the types of employment as: (a) Regular employment, (b) Work-based employment, (c) Time-based employment, (d) Casual employment, (e) Part-time employment. The act compels the employer and the employment to enter into an employment contract before the employment. The probation period according to the act is six months. The act provides a provision for a trainee and their duration shall be no more than one year.The act permits the employment of a foreign national with a work permit from the department. The maximum overtime limitation according to this act was 4 hours per day and 24 per week. The act includes detailed provisions on leave which includes weekly leave, public leave, substitute leave, home leave, sick leave, maternity leave, mourning leave and accumulation of leave. As per sec 58 of the act, Outsourced employees can be engaged in the work as prescribed by the Ministry by publishing a notice in Nepal Gazette upon recommendation of Central Labor Advisory Council. Such outsourced employees shall be engaged in the works which is other than the core works of the entity. Section 37 of the act has the provision for festival expenses to the employees i.e. Amount equivalent to the monthly remuneration once a year. The employee not completing one year is entitled to the expenses on the proportional basis. The provisions related to the housing fund has been removed in the new act. Section 54 has the provisions related to medical insurance (At least 1 Lakh per year for every worker. Premium to be paid equally by the employer and worker.) And Section 55 of the act includes provision on accidental insurance (At least 7 Lakh for every worker. Premium to be paid fully by the employer). The act includes the deduction of remuneration in certain circumstances such as:Not accepting the letter or notice of punishment, Participation or compelling to participate in illegal strike, Collectively delaying in work, Causing loss to the entity by reducing the production or service recklessly or negligently, Trying to take facilities by submitting false details, Not using the security instruments provided by the employer Other similar misconducts as prescribed in Byelaws. As per sec 132 of the act, the service may be terminated on the basis of seriousness of offence. |
