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 work days and 1 weekly holiday (Saturday). 

Minimum wage standardisation committees at district level fix the minimum labor rates of handling goods and services for the respective districts in the month of July for each fiscal year. Wage standardisation by the committee sets local wage rates for manual labor, 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 and district committees. 

Unskilled workers from the bordering Indian states fill the labor 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.

Labour Rate(s) Overview 

 

Cost (Local Currency NPR / USD per day) 

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

Daily General Worker (Unskilled casual labor) 

520-600  / 4.64-5.36  

Rate as of July 2018 to June 2019 

Includes Porter, Guards, Length Worker, etc 

Daily General Worker (Semi-skilled labor) 

600700 / 5.36-6.25 

Rate as of July 2018 to June 2019 

Carpenter, Mason, etc  

Skilled Worker 

890 / 7.95 

Rate as of July 2018 to June 2019 

 

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 August 16, 2018. 

Ref: Nepal Department of Labour & Occupational Safety

 

Minimum Wage Other than Tea Estate 

Minimum renumeration/ Wage 

Basic renumeration 
(NPR / USD) 

Dearness Allowances 

(NPR / USD) 

Total 

(NPR / USD) 

Monthly 

8455 / 75.48 

4995 / 44.59 

13450 / 120.07 

Daily 

325 / 2.90 

162 / 1.45 

517 / 4.62 

Hourly 

43 / 0.38 

26 / 0.23 

69 / 0.62 

 

Minimum Wage Tea Estate 

Minimum renumeration/ Wage 

Basic renumeration 
(NPR / USD) 

Dearness Allowances 

(NPR / USD) 

Total 

(NPR / USD) 

Monthly 

6469 / 57.75 

4312 / 38.49 

10781 / 96.24 

Daily 

231 / 2.06 

154 / 1.37 

385 / 3.44 

Hourly 

31 / 0.28 

20 / 0.18 

51 / 0.46 

Daily allowances for worker/employees working at tea factories and security guards working in tea estates 

42 / 0.37 

 

Link to the district rate for Kanchanpur district (Sudhurpashchim province)

Link to the district rate for Sarlahi district (Province 2)


Sources: 

ILO Nepal Labor Market Update