Current Trends in the Employment and Industrial Relations in MNEs in Nepal

Frameworks: Concession to MNEs: Bilateral Agreements ( BIPPA) Multilateral Agreements (SAFTA )

Mechanism: Concession to MNEs : EPZ SEZ ( still not imposed but coming very soon, already locations identified and work is going on)

Concession to MNEs : No duty levied on RM and auxiliaries imported by industries in SEZ and EPZ Industries exporting more than 40% of the production will treated as above although they are not in EPZs For industry selling the product in foreign currencies are treated separately and have Excise duty reimbursement After an industry comes into operation, 10% of GP is allowed to deduct against taxable income on account of expenses related with technology, product developments, and efficiency development

Nature of the Employment: Paid better than domestic Shifts and work pressure Less number of regular work and more irregular High Work intensity Nature of the Employment:

Mgmt Policies They consult workers’ but just formality Dealing with union: Do not want it If it comes , should not have link with any federations and national centre Union must only consulted in wage and direct workers issue Should not raise any issue on mgmt policies and practices

. Mgmt Policies Right to Organize and CB Do not want Try everyway possible to stop union If it comes, should be with in company level CB should only cover the wage and directly workers related issues. .

Means available: Labour Laws Trade Union acts ILO conventions ratified by Country ILO declarations Previous Negotiations in similar industry and company Tripartite negotiations in national level.

TUs week in: Information, data, research and recent updates Multiplicity of TU and inter union rivalry Technical and financial resources Lack of good human resources in TU Lack of clear vision Lack of startetigies

Main TU Priorities Organizing the unorganized- it’s ongoing Gaining power to bargain and negotiate in new environment- new industrial bargaining policy has been demanded Provision of Social security covering the large number of workers- New Social Security plan

Main TU Priorities: Representation and participation in policy and decision making level- Constitution making and labour law reform process. Creating unified trade union movement- JTUCC Lack of strategies

Saru- GEFONT Nepal Raj- UNI Nepal Thanks for listening Us !!!