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Nepal and Saudi Arabia sign bilateral labour agreement

Kathmandu, January 26

Nepal and Saudi Arabia have signed a bilateral labour agreement aimed at promoting safe, orderly, and dignified foreign employment for general workers. The agreement on worker recruitment was signed in Riyadh, Saudi Arabia.

Nepal’s Minister for Labour, Employment and Social Security, Rajendra Singh Bhandari, and Saudi Arabia’s Minister of Human Resources and Social Development, Ahmed bin Sulaiman Al-Rajhi, signed the agreement on behalf of their respective governments.

The agreement comes after more than a decade of efforts. Nepal has been seeking a labour agreement with Saudi Arabia since 2070 BS, with multiple drafts prepared over the years. The Cabinet meeting held on Bhadra 13 had approved the signing of the agreement. However, the process was delayed after the government collapsed following the Gen Z movement on Bhadra 23 and 24.

Prior to the signing, the labour ministers of both countries held a bilateral meeting. During the meeting, Minister Bhandari expressed confidence that the agreement would further institutionalise and strengthen labour cooperation between Nepal and Saudi Arabia. He said the agreement would help make the recruitment process for Nepali general workers more transparent, fair, and cost-effective, while also contributing significantly to the protection of rights and job security of Nepali workers in Saudi Arabia.

The agreement prioritises issues such as workers’ benefits, working conditions, social security, healthcare, implementation of labour contracts, grievance-handling mechanisms, and the protection of workers’ rights. Provisions have been made to safeguard workers’ interests in line with the laws of both countries, international labour standards, and mutual understanding.

According to the Nepali Embassy in Riyadh, the agreement is expected to further strengthen services, safety, and job security for Nepali workers currently employed in Saudi Arabia, as well as those who will travel there for employment in the future.

At present, Nepali workers in Saudi Arabia frequently lodge complaints with the embassy and the Department of Foreign Employment over issues such as non-payment of minimum wages, unilateral changes to employment contracts, companies restricting workers from returning home, and negligence in medical treatment.

According to data from the Department of Foreign Employment, 152,557 Nepalis obtained labour permits (including re-entry permits) to work in Saudi Arabia in the fiscal year 2081/82 BS. In the previous fiscal year 2080/81 BS, 141,502 Nepalis had taken labour permits (including re-entry permits) to travel to Saudi Arabia for employment.

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