Fiscal Nepal
First Business News Portal in English from Nepal
KATHMANDU: Nepal and the UAE will hold talks to discuss whether to extend their labor agreement today afternoon. Today, the Nepal-UAE Labor Joint Working Committee (JWC) will meet in Chandragiri, Kathmandu. In preparation for the meeting, the official UAE team has already arrived in Nepal.
The minimum wage that Nepali workers receive in the UAE will be raised as part of Nepal’s proposal to renew the labor agreement with the UAE at the meeting.
According to sources at the Ministry of Labor, Employment and Social Security, Nepal will put forth specific proposals on issues like changing some legal provisions to make them more worker-friendly, assisting in the social integration of workers who have returned from the UAE, and supporting the improvement of workers’ skill sets.
In order to guarantee workers’ social security, the UAE is also getting ready to present a number of proposals.
The UAE has put the issue on its agenda, along with the requirement to make it easier for domestic workers to enter the country.
On June 14, 2019, Nepal and the UAE signed a labor contract. In the Memorandum of Understanding (MoU), it is stated that in the event of an occupational accident or illness, the employer will cover the cost of treatment.
Additionally, for service periods up to five years, gratuity will be paid at a rate of 21 days for each year of service, and for service periods longer than five years, at a rate of 30 days per year.
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