Kathmandu. The Government of Nepal, employers and labor organizations have agreed to increase the minimum wage of workers to Rs 19,550. The agreement was reached at a tripartite meeting held at the Ministry of Labour, Employment and Social Security on Thursday.

Section 107 of the Labour Act, 2074 BS provides that the minimum wage of workers should be fixed every two years. Earlier, the minimum wage was Rs 17,300.

As per the agreement, the monthly basic wage will be Rs 12,170 and dearness allowance will be Rs 7,380. According to the Ministry, the daily basic wage will be Rs 470 and dearness allowance will be Rs 284, while the basic wage will be Rs 63 per hour and dearness allowance will be Rs 38. It has been agreed that the minimum wage will be Rs 107 per hour in case of workers working only in part time. According to the Ministry, the agreement will be applicable in the case of workers other than tea gardens.

Minister for Labour, Employment and Social Security Sharat Singh Bhandari thanked all stakeholders after the agreement. “Not only the minimum wage of the workers should be fixed, but all parties should be involved in its effective implementation in a serious and responsible manner. ’

Coordinator of the Minimum Wage Fixation Committee and Joint Secretary at the Ministry of Labour, Pradeep Koirala, said the agreement was reached after a long-standing consultation, coordination and in-depth discussion.

Federation of Nepalese Chambers of Commerce and Industry (FNCCI) President Chandra Prasad Dhakal welcomed the agreement. “To maintain sustainable labour relations, consensus on minimum wages was necessary and the consensus reached through transparent discussions and flexibility of all parties is acceptable and balanced to all of us,” he said. ’

Janak Chaudhary, a representative of the Joint Trade Union Coordination Centre (JTUCC), said the agreement was a victory for the working class. He said, “For the first time, our voice has been agreed on minimum wages, now strong monitoring will be done to ensure its implementation.” ’

Joint Secretary Pradeep Koirala, FNCCI President Chandra Dhakal, Senior Vice-President Jyotsna Shrestha, Nepal Chamber of Commerce’s Deepak Shrestha and Labour Union’s Janak Chaudhary were present in the meeting.

The agreement, which has been made possible through coordination and collaboration between the government, employers and labor organizations, is a historic achievement towards making the Nepali labor sector more just, dignified and systematic.