September 7: Industries in the Bara-Parsa Corridor have started reducing the number of workers as their production has shrunk due to the lockdown and restriction.

Stating that their production has been affected due to the four-month-long lockdown and the ongoing nationwide prohibitory order, the entrepreneurs have been firing their factory workers.

According to the Labor and Employment Office, Parsa, more than half a dozen industries in the industrial corridor have sent information regarding labor cuts. The labor office also informed that an industry in Birgunj laid off all of its workers on Sunday (September 6) alone.

Sundar Shrestha, chief of the Labor and Employment Office, informed that most of the industries have laid off their workers.

“Most of the industries in the corridor have been found to have laid off their workers unofficially, and only a limited number of industries have informed about it to the labor office,” Shrestha said.

Industries say that they have been removing workers on mutual understanding. However, the industries have not informed about the decision to the labor office.

According to the Labor Act, industries are subjected to inform about the reduction of work force to the Labor Office. Workers kept in reserve should be paid half salary according to the act.

In the case of labor deduction, the provision of the labor act mandates industries to pay annual salary as compensation to the worker. Likewise, the worker should be informed of their termination one month in advance.

It is estimated that more than around 100,000 workers are working in 1,000 industries in the industrial corridor. According to the industrialists, 35 to 40 percent of them have lost their jobs due to the inconvenience caused by the COVID-19.