Today is the 130th International Workers’ Day, also known as May Day. Nepal has been celebrating May day since 1963, and it was declared a public holiday in 2007. There has been a marked improvement in relations between management and labour compared to the past. Industrial unrest has declined significantly. Nepali industry has not seen major strikes or lockouts in recent years, although such activities were the trademark of domestic industries some years ago. Both companies and trade unions acknowledge that labour relations have improved owing to trade union maturity. But the government has made efforts on its part, too. Therefore it has been a two-way street.

The Labour Act 2017 for example, which requires employers to ensure a safe working environment for workers’ health and safety has been quite instrumental in securing workers’ rights. The guarantee of Occupational Safety and Health of workers at workplace in the latest labour legislation is the first ever instance of workers’ health and safety being secured by the country’s law. Under the Act, employers must be responsible for keeping workers safe from health hazards that might come from the use, storage and operation of any chemical, physical materials and equipment at workplace.

Similarly, in November 2018, the government also launched an ambitious social security scheme to protect and secure employees working in the formal private sector. The mechanism governing the scheme relies on employers contributing 11 percent, employees contributing 20 percent—and, with the result of these contributions—the employee providing social security in the form of healthcare, pensions and other prescribed benefits. The current scheme aims to cover about 3.4 million people—about 12 percent of the population—working in the formal sector. What’s more, various legislations and pacts have been signed to ensure Nepali labour migrants are not exploited in various Gulf countries when they go for foreign employment.

All these developments do indicate that the government has been quite serious about improving the labour conditions. However, a large number of people still flee the country in search of better work opportunities. Our economy is still dependent on remittance and while entrepreneurship is flourishing, the government’s efforts in creating industries, and as a corollary, increasing employment opportunities at home is yet to receive the kind of attention it deserves. A lot has been done on the legislative front to secure the rights of the workers. This is commendable but the focus now has to shift to creating more job opportunities at home. Also, it is high time the government recognised the

contribution of women and the informal sector to the economy despite the fact that their numbers are so large and their contributions so wide-ranging.