Saturday, October 21, 2006

Amendment in foreign employment law soon

The Government of Nepal has made extensive preparations for amendment in the Foreign Employment Act-2042 BS in order to make the foreign employment business more systematic and disciplined as it has been making important contributions to the country's socio-economic sector.
The preparations are being made to make the business more responsible through healthy competition by bringing about changes in the present negative outlook on the entrepreneurs of the sector and the declining faith of the people in the context of irregularities and cheating in the sector.
Demand for extensive amendment had been voiced by the entrepreneurs and other sectors as the law formulated 20 years ago was not sufficient to develop the business in the modern way in the context that it has been main source of employment for the Nepali youth labor market which numbers about 300,000 annually, as well as the backbone of the country's economy.Some 1.5 million Nepalese have been working in various countries of the world at present through this business.
Foreign employment is the main source of remittance which is the bedrock of Nepal's economy in recent times. According to one statistics Nepal brings in some 90 billion rupees as remittance. The proposed amendment incorporates new provisions in registration, professional fairness, controlling of irregularities and cheating, tribunal, foreign employment promotion board, and promotion department and reward to entrepreneurs on the basis performance.
The deposit needed to register new company Rs. 500,000 as bank balance and Rs. 2,500,000 worth of surety has been cancelled and made Rs. 3 million as compulsory bank balance.The compensation of Rs. 500,000 has not been adequate for the victims of cheating by the home company and agents and there were complexities to recover it from the company assets and therefore the cash stock is necessary, the government says.

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