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Nepal - 3.3 Manual Labor
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The Nepal Labor Act 2074 (2017) provides for the rights, interest, facilities and safety of workers and employees in Nepal. The work week in Nepal consists of 6 workdays and 1 weekly holiday (Saturday). Major actors representing Nepalese workers are All Nepal Federations of Trade Unions (ANTUF), General Federations of Trade Unions (GEFONT), and Nepal Trade Union Congress (NTUC). 

Minimum wage standardisation committees at district level fix the minimum labour rates of handling goods and services for the respective districts in the month of July for each Nepali fiscal year. Wage standardisation by the committee sets local wage rates for manual labour, local transportation, engineering costs and construction material costs. Often general labour and transportation market rates in use are found to be higher than the minimum market rates defined by the Federal Government, Provincial Government, and district committees.  

Seasonal migration to India is a dominant feature of poor rural communities of Nepal, consistent with open borders, and cultural similarities. It has long been part of the livelihood portfolio of poor people across the country as well as part of life of the poor people from the middle hill of Nepal. Unskilled workers from the bordering Indian states fill the labour supply gaps in Nepal created by the increasing migration of the Nepali workforce. Contract labourers from India find seasonal employment during the planting and harvesting seasons in Nepal; several infrastructure projects such as hydropower and road constructions often employ Indian labourers. 

The Government of Nepal, Ministry of Labour, Employment and Social Security prescribed the minimum remuneration/wage of the worker/employees under Section 106 of the Labor Act, 2017 (2074), separated in (a) “Minimum Wage Other than Tea Estate "and (b) “Minimum Wage Tea Estate “, which has come into effect on September 17, 2023. Ref: Nepal Department of Labour & Occupational Safety Ministry Of Labour, Employment and Social Security (moless.gov.np) 

Labour Rate(s) Overview 

Minimum Wage Other than Tea Estate  

Cost (Local Currency NPR / USD per day)  

Since each district fixes its rate, the range of rates is included here.  

Daily General Worker (Unskilled casual labour)  

418-668/5.03   

Includes Porter, Guards, Length Workers, etc (source: Government increases minimum wage of workers (kathmandupost.com) 

Daily General Worker (Semi-skilled labour)  

800–1000 / 6-7.5  

Carpenter, Mason, etc   

Skilled Worker  

1000-1200 / 7.65-9 

 

 

Minimum remuneration/ Wage for workers in tea estate 

Basic remuneration  
(NPR / USD) 

Dearness Allowances 

(NPR / USD) 

Total 

(NPR / USD) 

Monthly 

8934/67.24 

4959/37.33 

13893/104.57 

Daily 

323/2.43 

177/1.33 

500/3.76 

Hourly 

43 /0.32 

23/0.17 

66/0.5 69 / 0.62 

 

As mandated by the Government of Nepal, each district has responsibility to set labor rate which is updated at the beginning of every fiscal year.  

 

There are 14 districts in Koshi Province and below links are the District Rate set by the District Rate Determination Committee. 

  1. Morang District 

  1. Bhojpur District 

  1. Dhankuta District 

  1. Khotang District 

  1. Taplejung District 

  1. Udayapur District 

  1. Jhapa District 

  1. Okhaldhunga District 

  1. Ilam District 

  1. Panchthar District 

  1. Sankhuwasabha District 

  1. Solukhumbu District 

  1. Sunsari District 

  1. Terhathum District  

Links to Madhesh Prades which has 8 districts and below links are the District Rate set by the District Rate Determination Committee. 

  1. Bara District 

  1. Dhanusa District   

  1. Mahottari District 

  1. Parsa District  

  1. Rautahat District 

  1. Saptari District 

  1. Sarlahi District 

  1. Siraha District  

Links to Bagmati Province which has 13 district and below links are the District Rate set by the District Rate Determination Committee. 

  1. Chitwan District 

  1. Dhading District 

  1. Dolakha District 

  1. Kathmandu District 

  1. Kavrepalanchok District 

  1. Lalitpur District 

  1. Makwanpur District 

  1. Nuwakot District 

  1. Ramechhap District 

  1. Rasuwa District 

  1. Sindhuli District  

  1. Sindhupalchok District  

  1. Bhaktapur District 

set by the District Rate Determination Committee 

  1. Gorkha District 

  1. Kaski District 

  1. Lamjung District 

  1. Manang District 

  1. Mustang District 

  1. Myagdi District 

  1. Nawalpur District 

  1. Parbat District  

  1. Syangja District 

  1. Tanahun District 

Links to Lumbini Province which has 12 districts and District Rate set by the District Rate Determination Committee 

  1. Arghakhanchi District 

  1. Banke District 

  1. Bardiya District 

  1. Dang District 

  1. Eastern Rukum District 

  1. Gulmi District 

  1. Kapilvastu District 

  1. Palpa District 

  1. Parasi District  

  1. Pyuthan District 

  1. Rolpa District  

  1. Rupandehi District 

 

The District Rate Determination Committee has set the District Rate of the following districts of Karnali Province are as follows 

  1. Dailekh District 

  1. Dolpa District 

  1. Humla District 

  1. Jajarkot District 

  1. Jumla District 

  1. Kalikot District 

  1. Mugu District 

  1. Salyan District 

  1. Surkhet District 

  1. Western Rukum District 

The District Rate Determination Committee has set the District Rate of the following districts of Sudurpashchim Province are as follows. 

  1. Achham District 

  1. Baitadi District 

  1. Bajhang District 

  1. Bajura District 

  1. Dadeldhura District 

  1. Darchula District 

  1. Doti District 

  1. Kailali District 

  1. Kanchanpur District 

ILO Nepal Labor Market Update  

 

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