Meeting Between Federation of Nepalese Chambers of Commerce and Industry and Labour Minister Focuses on Labour Law Amendments

The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) held a meeting with Minister Ramjee Yadav, urging that amendments to the labour laws be advanced by linking them to investment, employment, and industrial development. The federation provided recommendations on promoting domestic employment, skill assessment, establishing a regular minimum wage system, and the legal framework for platform workers. Minister Yadav informed that the first phase of revising the Labour Act is underway and that discussions with relevant stakeholders will commence soon. The meeting took place on 5th Bhadra in Kathmandu.
A delegation led by FNCCI President Anjan Shrestha met with the Minister for Youth, Labour and Employment, Ramjee Yadav, to discuss timely amendments to the labour law, promotion of internal employment, management of labour market demand and supply, and various issues related to industrial relations. The federation emphasized that labour law reforms should keep pace with the changing labour market, industrial requirements, and the country’s economic transformation.
Furthermore, FNCCI expressed the opinion that labour laws must be balanced and practical, designed to encourage investment and job creation, enhance industrial competitiveness, and ensure workers’ rights and social security. During the meeting, President Shrestha highlighted that the government is currently promoting an agenda of change, transformation, and transfer, with several legislative amendment processes underway, and stressed the need to reform labour laws in alignment with long-term economic and employment needs.
“Nepal should maximize the current demographic dividend and consider how employment conditions will evolve over the next decade in conjunction with labour law amendments,” said President Shrestha. “As the government aims to build a $100 billion economy over the coming decade, labour laws must be made investment- and employment-friendly to stimulate necessary industrial investment, production expansion, and job creation.” Minister Yadav confirmed that the Ministry is engaged in the initial phase of the Labour Act amendment process and plans to proceed with consultations with stakeholders after completing preliminary tasks.
The federation argued that the labour market should be demand-driven to address the mismatch between industries struggling to find appropriate workers and job seekers lacking opportunities. It emphasized the development of skills, training, and employment matching systems aligned with actual industrial needs. Probal Jung Pandey, Chairperson of the Employers’ Council, pointed out the need for an effective mechanism for skill testing and certification of Nepalese workers returning from foreign employment.
The federation also highlighted issues related to industrial dispute resolution, digitalization of labour administration, practical improvements in social security systems, and enhancing institutional tripartite dialogue among the government, employers, and workers.