Salary hike row: Employers term government’s latest move ‘unilateral’
The minimum salary hike issue has resulted in a tussle between the government and industrialists. Enraged industrialists have said that they will not accept any fresh deal on pay hike, rather make efforts to implement the 11-point agreement reached on March 24.
On Friday, the Ministry of Labour and Transport Management had sealed a deal with five disgruntled trade unions to recommend the government to increase the minimum salary by Rs 1,600 a month. Earlier on March 24, after a series of talks between industrialists and three major trade unions, it was agreed that the salary will be increased by Rs 1,500 per month.
Employers’ Council of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) on Sunday held a meeting on the ministry’s recent decision. In the meeting, Raj Kumar Agrawal, vice-president of the Confederation of Nepalese Industries (CNI) was also present.
Terming the ministry’s decision ‘unilateral’, industrialist said such an agreement without the involvement of employers would send a negative message to the labour market and have adverse impact in the country’s industrial environment. “There was no representation of employers in the fresh deal between the Ministry of Labour and Transport Management and trade unions,” said Pashupati Murarka, newly elected vice-president of the FNCCI, who is also president of the Employers’ Council. “There will be no change in the 11-point agreement that has been reached with three major trade unions.”
On March 24, industrialists had signed the 11-point agreement with three trade unions—General Federation of Nepalese Trade Unions (GEFONT), All Nepal Trade Union Federation (ANTUF) and Nepal Trade Union Congress (Independent)—to increase the minimum salary by Rs 1,500 per month. Following pressure from other five trade unions, including dissatisfied factions of ANTUF and Madesh-based political parties, the ministry on Friday had decided to recommend the government to increase the salary by Rs 1,600 a month.
“We have no idea on what basis the ministry made the agreement,” said Manish Agrawal, a member of the Employers’ Council. He said as there was no representation of employers while signing the deal, it means nothing to them.
On Friday, two factions of the Maoist-affiliated trade union—each led by led by Badri Bajgain and Lal Dhwoj Nembang—and trade unions affiliated to the Madhes-based parties had signed a deal with Labour Minister Top Bahadur Rayamajhi. Minister Rayamajhi had said the government would implement the latest agreement after holding discussions at the minimum wage fixation committee, a forum of all stakeholders concerned.
According to the Friday’s deal, the minimum salary will be increased from Rs 4,600 to Rs 6200—a hike of Rs 1,600, including Rs 500 in basic salary and 1,100 in dearness allowance. Similarly, the daily wage has been increased to from Rs 190 to Rs 231. Earlier, three major trade unions and employers had agreed to increase the minimum wage by Rs 1500—Rs 50 in basic salary and 1,450 in dearness allowance. The daily wage was increased to Rs 226.
Posted on: 2011-04-18 10:00
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