CMNT_TITLE

Minimum Wage Fixing Convention, 1970 (No. 131) - Nepal (RATIFICATION: 1974)

Other comments on C131

Observation

2008

Direct Request

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Article 1 of the Convention. Coverage of all groups of wage earners. The Committee notes the adoption of a new Labour Act, Act No. 14 of 2017, which contains provisions on minimum wage fixing in sections 106 and 107. Further to its previous comments on the coverage of the minimum wage system, the Committee notes with interest that, unlike previous legislation, the new Labour Act applies to all enterprises irrespective of the number of workers employed (section 2(j)), and that section 88(1) establishes that the Government may fix a minimum wage for domestic workers. It also notes that, while the Labour Act does not apply to the civil service and services established under special laws (section 180), it provides that where the special laws do not have provisions on wages, employment conditions and benefits, the Labour Act shall be automatically applicable in relation to those matters. The Committee also notes the Government’s indications in its report that the monthly wages of civil servants are fixed by the Government, on the recommendation of committees formed for reviewing wages, in application of the corresponding special legislation.

Article 4(2) and (3). Full consultation with and direct participation of employers and workers in the minimum wage-fixing machinery. Further to its previous comments, the Committee notes with interest that section 107(1) of the Labour Act provides for the establishment of a permanent tripartite Minimum Wage Fixing Committee (MWFC) responsible for formulating recommendations on the minimum wage. It also notes that section 106(1) establishes that the Government may fix the minimum wage in the case that the MWFC fails to recommend the minimum wage due to lack of consensus.

Article 5. Enforcement. The Committee notes that section 182 of the Labour Act provides that the Government may make necessary rules for the effective enforcement of the Act and that during that process, separate rules for businesses, services and industries with special characteristics or for the informal sector may be made. The Committee requests the Government to indicate whether any rules have been adopted under section 182 to ensure the effective enforcement of the Labour Act, and to provide information particularly on the measures taken or envisaged to ensure compliance with the provisions therein on the minimum wage.