April 20: Umbrella organisations of Nepal’s business enterprises and industries have inched closer to an agreement regarding payment of workers during the lockdown period. The Federation of Nepalese Chambers of Commerce and Industries (FNCCI), Nepal Chamber of Commerce (NCC) and the Confederation of Nepalese Industries (CNI) had been discussing about the payment of workers since the past week. Stakeholders have reached an initial understanding to pay 50 percent salary to the workers in the private sector on the basis of the post of the worker.

The Employment Council of FNCCI had initiated discussions among the stakeholders about workers’ pay during the current crisis. They agreed on Sunday to deduct 50 percent salary of the employees who make good income while those who earn little amount will not have their salary deducted.

According to an informed source, they will officially inform about the decision to the government on either Monday or Tuesday (April 21). The payment of salary has become the bone of contention at a time when most of the industries and enterprises across the country have come to a halt due to the lockdown imposed by the government.

The government has already released Rs 180 million as workers’ salary to the firms contributing to the Social Security Fund of the government. There is a mandatory provision for every enterprise of the private sector to contribute 31 percent of each worker’s salary to the fund in return for various facilities post-retirement but many companies are yet to comply with the government’s newly set up fund.

Meanwhile, the General Federation of Nepalese Trade Union and Nepal Trade Union Congress have urged the umbrella organisations of the employers not to fix the salary unilaterally. They argued that it does not suit the reputation of employers to bargain for one month’s salary of the staffers who have contributed to the companies for years.

President of Nepal Trade Union Congress Pushkar Acharya said that the employers cannot do injustice to the workers on the pretext of the lockdown.

“The government has already released Rs 180 million as salary for the workers. In such situation, the employers cannot run away from their obligation to pay the workers,” he said.

He argued that the employers have defied government instruction to pay the workers the salary for the month of Chaitra (mid-March to mid-April).