15Sep

Decoding the Minimum Wage Debate

Decoding the Minimum Wage Debate

While the safety of the working class should always remain a top priority, haphazardly increasing the minimum wage can have several unintended consequences.

The recent announcement made by the Ministry of Labor, Employment and Social Security to increase the minimum wage from Rs15,000/month to Rs 17,300/ month is well received and is generally seen to be a welcome step. This was done in accordance with Section 106 of the Labor Act (2017), where it is written that the government shall revise minimum wage every two years. So, the previous jump was from Rs 13,450 to Rs 15,000.

Now, the minimum wage is set to be Rs 17,300/month (excluding for tea sector workers, it is Rs 13,893/month), the minimum wage includes basic salary and inflation allowance. Meaning, the daily wage is Rs 668/day and Rs 89/hour. 

 

Needs vs business realities 

The dispute revolves around wage demands between trade unions and business owners. Trade unions advocate for a monthly wage of Rs 26,000 due to workers’ struggles with high inflation, suggesting it would help in managing expenses, while business owners, citing Covid-19’s detrimental impact on their stability, request time for recovery before any minimum wage increase by the government.

Picture this: A small clothing shop owner employs an assistant. The monthly store earnings amount to Rs 50,000. Although the earnings look decent and enough money to pay Rs 17,300 to their employee, the same earnings must account for Rs 25,000 in inventory costs and Rs 8,000 for rent. The shopkeeper is now running in Rs 300 loss, because all the money they generated has been spent. The shop owner is now compelled to let go of the employee. This decision is purely driven by the fact that the shop’s overall expenses exceed its revenue.

This example can be used to highlight the concerns that small businesses and micro, small, and medium enterprises (MSMEs) often raise when minimum wage policies are introduced or increased. While the intent of minimum wage laws is to provide workers with fair compensation, it can also impact small businesses that operate on thin profit margins. The example illustrates that although the revenue generated by the shop seems substantial at first glance, it is important to consider the broader financial implications and the various costs associated with operation of the business.

Government officials and experts have opined that the government should be wary about the condition Nepal’s economy is in. Many manufacturing companies have reportedly shut down and many have cut production. There are manufacturing plants operating at only 50 percent capacity.

Heart of the issue 

National Economic Census, 2018 reveals that Nepal’s private sector is of small enterprises, constituting 62.4 percent of the sector. Medium-sized enterprises follow at 22.9 percent, with large enterprises accounting for 14.7 percent. A study conducted by FNCCI and the International Finance Corporation further highlights that the private sector employs nearly 86 percent of Nepal’s labor force, amounting to approximately 4.93 million people.

Interestingly, the breakdown of the employment landscape shows that micro and small enterprises contribute to 4.56 million jobs, while small and medium enterprises provide 333,077 jobs, and large industries offer 41,449 jobs. Consequently, the micro, small, and medium enterprises (MSMEs), characterized by their smaller scale of production and operation, along with limited capital, collectively account for roughly 93 percent of all jobs generated by the private sector. This underscores that despite their modest size and resource limitations, MSMEs drive the highest demand for workers in the current job market.

Section 107 of the Labor Act (2017) gives way for a minimum remuneration fixation committee to be set. This committee consists of representatives from the government of Nepal, trade unions and employers’ association. What we fail to see is representation from MSMEs and SMEs that are one of the biggest job creators in Nepal. The tyranny of the minority comes into play, yet again.

The general point that is being contested now is how Rs 17,300 is still below the salary of the government assistant which is Rs 26,348. The Vice President of GEFONT has time and again expressed the demand of the union that the minimum wage should be increased to match at least the salary of the lowest level government staff. While the subject matter of salaries received by the government staff, their increments and what it means to the taxpayers, is a topic for a different day, we need to remember small MSMEs that makeup the largest portion of job creation in the private sector cannot be compared with the deep pockets of the government. The government’s inability to effectively deal with soaring inflation prices is hitting all of the citizens. That being said, the MSMEs that are grappling with the sustenance of their business and their employees cannot be expected to pay Rs 26,000 in this situation.

If the populist government determines raising the minimum wage to be Rs 26,000, all jobs paying Rs 15,000 per month will now pay Rs 26,000  because of the new law. The general public will definitely be happy, and our politician ensures an extension for his time in his big seat. But six months later, no one will be offering the same job that used to pay Rs 15,000. They can’t afford to. If prices are held constant, employers now need fewer people, each being more productive, to justify the Rs 26,000/month.

That is the issue that underlies with populist policies, in general. While undoubtedly the safety of the working class should always remain a top priority, we have seen time and again how haphazardly increasing the minimum wage has several unintended consequences. CATO Institute has listed four direct consequences of increasing minimum wage: Job loss, hurting low skilled workers, little effect on reducing poverty and increment of price for consumers.

Even internationally, there is still no agreement on how high can minimum wages be without harming workers by causing loss of employment, increase of price of goods and job replacement by automation. If you make something more expensive, people will usually want to buy less of it. And if you make labor more expensive, then employers might want less of it and if the cost of buying machinery and replacing jobs with more automation costs the employers less than paying wages they will do it.

Exploring effects: Insights from economists 

In 1992, two economists from Princeton, David Card and Alan Krueger, published a groundbreaking study which looked at how there was a positive relationship between increase in minimum wage and employment rate at fast-food restaurants in two states (New Jersey and Pennsylvania)  with differing policies (New Jersey increasing their minimum wage where as Pennsylvania not imposing any such laws).

In New Jersey, the minimum wage for employees rose, while in the neighboring state of Pennsylvania, it remained unchanged. Despite the wage hike in New Jersey, the number of jobs actually grew. Card and Krueger’s research revealed that a modest wage increase didn’t result in job cuts because wages were already below the market standard. So, one possible reason for the rise in employment could be the higher wage attracting new laborers into the workforce. This study was a first of its kind, showing that increasing the minimum wage doesn’t necessarily result in job losses, which helped Card win a Nobel Memorial Prize in Economic Sciences Award.

But having said that, claims of Card and Krueger’s paper being intentionally narrow cannot be denied. Fellow Nobel Peace laureate James M Buchanan had a stern standing, he claimed that the core proposition of economics is the inverse relationship between quantity demanded and price. People buy less when prices rise and vice versa. Similar to how no physicist claims water flows uphill, few economists argue that raising minimum wage boosts employment. Furthermore, Buchanan claims Card and Krueger’s findings advocate their personal beliefs.

Another Nobel Prize Laureate in Economics, Joshua Angrist, in his book Mostly Harmless Econometrics argues that comparing employment data of Pennsylvania and New Jersey may not even be appropriate as data shows that between February and November 1992, there was a small decrease in jobs in Pennsylvania while jobs in New Jersey remained mostly unchanged. However, when looking at different years, both states experienced significant fluctuations in employment, and these changes were often different between them. This means that using Pennsylvania as a comparison might not accurately show what would happen in New Jersey if there was a change in the minimum wage.

Leaving the findings of economists based on developed nations aside, this is not applicable to Nepal, neither the monopsony in job market nor the aspect of state or federal minimum wage, or even the fact that this study only shows an increase in employment in the capital intensive part of a fast food industry.

Impacts on MSMEs and informal sector

Shifting focus back to Nepal, the concern appears to be more centered around Micro, Small and Medium Enterprises (MSMEs) being forced to close down and therefore cause employment rates to drop rather than any other factor. Larger companies can afford to increase the wage rate of their workers and simultaneously expand their workforce (assuming rational hiring practices). The cost dynamics of production adjustments play a crucial role in such.

One major concern of raising minimum wage is also the shift of laborers from the formal sector to a more informal one. The government which tries to enforce minimum wage rates even in the informal sector has no way of ensuring such a thing because the (mostly verbal) contract is between the laborer and the temporary employer. It is next to impossible to keep track and enforce the same wage rate for gig workers in the informal sector. It is difficult to enforce it even in the digital realm, the in-person dealings are not even in question. When the wages cannot be regulated, we can only hope the situation that arose during the great depression doesn’t arise back again.

Big picture 

In the end, when we talk about the minimum wage debate in Nepal, it’s not just about numbers, figures and data. It’s a story woven with threads that reach far beyond just statistics. Micro, small, and medium enterprises (MSMEs) are the unsung heroes of job creation. They are trying to balance their survival with the fair treatment of their workers.

The minimum wage is not just about numbers, figures and data. It’s a story woven with threads that reach far beyond just statistics.

What we need is an approach that understands the bigger picture that encapsulates the need to find a way for workers to have dignified lives while still keeping those business doors open. It’s about making sure that every step forward doesn’t inadvertently lead to two steps back. A balanced harmony where both workers’ well-being and the resilience of these businesses can thrive together. Having said this, it is also vital to hold the government accountable for addressing inflation’s growing impact. The consequences of inadequate actions resonate deeply within the MSME sector and wager workers alike. The government must prioritize comprehensive measures to curb inflation.

Anjila Shrestha is a researcher at Samriddhi Foundation, an economic policy think tank based in Kathmandu. The views expressed in this article are the author’s own and do not represent the views of the organization.

anjila@samriddhi.org

Source: https://www.nepallivetoday.com/2023/09/06/decoding-the-minimum-wage-debate/

22Aug

बैदेशिक रोजगारमा जाने कामदारले जान्नै पर्ने कुराहरु

बैदेशिक रोजगारमा जाने कामदारले जान्नै पर्ने कुराहरु

  1. केही सीप सिकेर, आफूले गर्ने, गर्न सक्ने र जान्ने कामका वारेमा, पाउने तलवका वारेमा राम्ररी जानी बुझी मात्र जानु पर्दछ ।
  2. लाग्ने खर्च, प्राप्त हुने आम्दानीका वारेमा तुलनागरि लाभ हुने काममा मात्र जानु पर्दछ।
  3. घर परिवारसँग सल्लाह, परामर्श गरी सहमतिमा मात्र जानु पर्दछ ।
  4. बैदेशिक रोजगार बिभागवाट श्रम स्वीकृति लिएर मात्र बैदेशिक रोजगारमा जानु पर्दछ ।
    बैदेशिक रोजगारमा जाँदा दुर्घटनामा परी मृत्यू वा अंगभंग हुन सक्दछ । विमा गर्दा कामदारलाई र उस्को परिवारलाई आर्थिक सहयोग प्राप्त हुन्छ ।
  5. बैदेशिक रोजगारमा जाँदा विस्वासिलो र भरपर्दो मेनपावर कम्पनी मार्फ जानु पर्छ । व्यवसायिक वा Visitभिसामा जानु हुदैन । जानी जानी गलत कागजात बनाई जानु हुँदैन ।
  6. घर परिवारसँग सल्लाह गरि मानसिक रुपमा तयार हुनु पर्दछ ।
  7. बैदेशिक रोजगारमा जानका लागि पैसा बुझाएपछि व्यहोरा खुलाई भरपाई लिनु पर्दछ । कति खर्च लाग्छ राम्ररी बुझनु पर्छ । कुनै एजेन्ट वा कम्पनीले भरपाई दिन आनाकानी गरेमा ठगिकै नियत भएको बुझ्नु पर्छ ।
  8. स्वदेशी विमानस्थलवाट मात्र जानु पर्दछ । अन्य छिमेकी देशको बाटो गरेर जानु हुँदैन । बेचिन वा ठगीमा पर्न सकिन्छ ।
  9. आफू जाने देशको भौगोलिक स्थिति, हावापानी रहन, सहन, धर्म, कानून, काम गर्ने वातावरण आदि वारेमा सामान्य जानकारी लिनु पर्छ । यस्का लागि पूर्व प्रस्थान अभिमूखीकरण तालीम अनिवार्य रुपमा लिनु पर्दछ ।
  10. बैदेशिक रोजगारमा जाँदा आवश्यक सवै कागजातहरुको एक एक प्रति आफू र परिवारको साथमा राख्नु पर्छ ।
    बैदेशिक रोजगारको क्रममा ठगिमा परे बैदेशिक रोजगार बिभागमा उजुरी गर्नु पर्दछ ।
  11. बैदेशिक रोजगार सम्वन्धी कुनै पनि सूचना जानकारीका वारेमा बुझ्नु परेमा बैदेशिक रोजगार बिभाग र बैदेशिक रोजगार प्रवर्द्धन वोर्डको सचिवालयको ठेगानामा सर्म्पर्क गरी बुझ्न सकिन्छ ।
    आम संचार माध्यमले प्रकाशन गरेको बैदेशिक रोजगारको सूचना/ विज्ञापन सहि भए नभएको बुझ्नु पर्दछ । गलत विज्ञापन गरी पैसा उर्ठाई ठगि गर्न सक्दछन ।
  12. सरकारले निषेध गरेको देशमा र काममा जानु हुदैन ।


बैदेशिक रोजगारका लागि गएका कामदारले ध्यान दिनु पर्ने कुराहरु

  1. काम गर्न जाने मूलुकको नेपाली राजदूतावास, श्रम सहचारी, संघ गैर आवासीय नेपाली एवं नेपाली संघ संस्था आदिको सर्म्पर्क ठेगाना फोन आफ्नो साथमा राख्नु पर्छ
  2. अप्ठ्यारो र कठीनाई पर्दा सर्म्पर्क गर्न सजिलो हुन्छ
  3. बिदेशमा रहदा नेपाली राजदूतावास, नेपाली संघसंस्था र आफ्नो घर परिवारको नियमित सर्म्पर्कमा रहनु पर्दछ । यसो गर्दा अप्ठारो पर्दा उद्धार गर्न सजिलो हुन्छ । मानसिक तनाव न्यून गर्न सकिन्छ ।
  4. काम गरिरहेको वा काम गर्न गएको कम्पनी छोडी अन्यत्र काम गर्न जानु हुदैन । कतिपय देशमा यस्तो गरेमा गैर कानूनी भइन्छ, जेल सजाय पनि हुन सक्दछ ।
  5. करार अवधि सकिएपछि स्वदेश फर्किएर पुन बीमा गराई श्रम स्वीकृति लिएर जानु पर्छ, अन्यथा दुर्घटना पर्दा बीमा र अन्य आर्थिक सहायताको सुविधा पाइदैन ।
  6. सम्झौता गरेको भन्दा फरक कम्पनीमा, फरक काममा, कम पारिश्रमिकमा काम लगाएको छ भने तुरुन्त नेपाली दूतावास, बैदेशिक रोजगार बिभागमा उजुरी गर्नु पर्छ । आफू खुसी अन्यत्र काम गर्न जानु हुँदैन ।
  7. कोठामा बस्दा वा सुत्दा ए.सी.को सही किसिमवाट प्रयोग गर्नु पर्दछ । थाहा नभएको काम कुरा सिकेर जानेर मात्र गर्नु पर्दछ ।
  8. कमाएको पैसाको फजुल खर्च गर्नु हुंदैन, बचाएको पैसा बैंकिङ्ग च्यानलवाट पठाउनु पर्छ, व्यक्तिगत तवरवाट र हुण्डीवाट पठाउदा जोखिम -खतरा) हुन्छ ।
  9. आफ्नो स्वास्थ्य र क्षमताको ख्याल गरेर काम गर्नुपर्छ, क्षमता भन्दा बढी ओभरटाइम काम गर्नु हुंदैन ।
  10. खास गरी खाडि मुलुकमा जाँदा पान मसाला, पराग, मर्चा तथा अन्य सुर्तिजन्य पदार्थ, मदिरा लैजान र र्सार्वजनिक स्थानमा प्रयोग गर्न प्रतिवन्ध छ । यस्ता सामान लुकाई लगेमा, विक्रि गरेमा वा प्रयोग गरेमा कडा सजाय हुन्छ । जाँड रक्सी र लागू पदार्थ जस्ता कुलतमा लाग्नु हुँदैन ।
  11. सम्वन्धित मुलुकको, कम्पनीको नियमको पालना गर्नु पर्छ, अरुको धर्म संस्कृतिको सम्मान गर्नु पर्दछ । अनावश्यक झै झगडा र अरुको उक्साहटमा हडतालमा उत्रनु हुँदैन ।
  12. सम्वन्धित देशको ट्राफिक नियम वुझ्ने र पालना गर्नु पर्दछ ।
26Jul

Recognized Destination for Forign Employment by Government of Nepal

Recognized Destination

List of countries opened by GoN for Foreign Employment through recruiting agencies

  1. Afghanistan*              
  2. Albenia
  3. Algeria              
  4. Argentina              
  5. Armenia              
  6. Australia              
  7. Austria
  8. Azerbaijan              
  9. Bahrain
  10. Bangladesh              
  11. Belarus
  12. Belgiam
  13. Bolevia
  14. Bosnia Herz
  15. Brazil              
  16. Brunei              
  17. Bulgaria              
  18. Canada
  19. Chile              
  20. China
  21. Columbia
  22. Combodia              
  23. Congo
  24. Costarica              
  25. Crotia              
  26. Cuba              
  27. Cyprus              
  28. Czech Republic
  29. Denmark              
  30. Egypt              
  31. Estonia
  32. Fiji              
  33. Finland
  34. France              
  35. Germany              
  36. Great Britain              
  37. Greece              
  38. Guana
  39. Holysee
  40. Hongkong
  41. Hungary
  42. Iceland
  43. Indonesia
  44. Iran
  45. Iraq*
  46. Ireland
  47. Israel
  48. Italy
  49. Japan
  50. Jordan
  51. Kazakhastan
  52. Kenya
  53. Kosovo
  54. Kuwait
  55. Laos PDR
  56. Latvia
  57. Lebanon
  58. Libya*
  59. Luxzemburg
  60. Macau
  61. Malaysia
  62. Maldives
  63. Malta
  64. Mecedonia
  65. Mexico
  66. Moldova
  67. Mongolia
  68. Moritius
  69. Morocco
  70. Mozambique
  71. Myanmar
  72. Netherland
  73. New Zealand
  74. Nicaragua
  75. Nigeria
  76. Norway
  77. Oman
  78. Pakistan
  79. Panama
  80. Peru
  81. Poland
  82. Portugal
  83. Qatar
  84. Republic of Korea
  85. Republic of Slovak
  86. Rumenia
  87. Russia
  88. Saipan
  89. Saudi Arabia
  90. Singapore
  91. Slovenia
  92. South Africa
  93. Spain
  94. Sri Lanka
  95. Sweden
  96. Switzerland
  97. Sychelese
  98. Tanzania
  99. Thailand
  100. The Philippines
  101. Tunetia
  102. Turkey
  103. Uganda
  104. Ukrain
  105. United Arab Emirates
  106. United States of America
  107. Uzbekistan
  108. Venezuala
  109. Vietnam
  110. Zambia
  111. Serbia

* temporarily blocked by GoN

15Jul

Nepal Embassy and Mission around the Globe

Nepal Embassy and Mission around the Globe

Australia
Embassy of Nepal, Canberra
info@necan.gov.np, eoncanberra@mofa.gov.np
Address: 22 Kareelah Vista, O’Malley Canberra ACT 2606
Contact: Tel: (02) 6286 8004 Fax: (02) 6286 9978

Austria
Permanent Mission of Nepal to the United Nations, Vienna
mission@nepalmission.at
Address: Schwindgasse 5/1/6, 1040 Wien, Vienna, Austria.
Contact: Phone: (+43) 12350275-01 Fax: (+43) 1235027500

Brazil
Embassy of Nepal, Brasilia
embaixadanepal@gmail.com
Address: onjunto 03, Casa 20 Lago Sul Brasília DF CEP: 71.625-230
Contact: Phone: +55 – 61 – 3541-1232/1843 Fax: +55 – 61 – 3541-1229

Belgium
Embassy of Nepal, Brussels
embn@skynet.be
Address: 210 Avenue Brugmann 1050 Brussels Belgium
Contact: Tel: 0032 2 346 26 58 Fax: 0032 2 344 13 61


Bangladesh
Embassy of Nepal, Dhaka
eondhaka@dhaka.net
Address: United Nations Road, Road No. 2 Baridhara Diplomatic Enclave Dhaka – 1212, Bangladesh.
Contact: Telephones: 880-2-9892490, 9892568 Fax: 880-2-9846401

Bahrain
Embassy of Nepal, Manama
eonmanama@mofa.gov.np
Address: Villa 2397, Road 2437, Area 324 Juffair, Manama, Kingdom of Bahrain.
Contact: Tel: +973 17725583 Fax: +973 17720787


China
Embassy of Nepal, Beijing
chinaemb_np@mfa.gov.cn
Address: China, Beijing, Chaoyang, Sanlitun Rd, 三里屯路西6街1号
Contact: +86 10 6532 1795

Consulate General of Nepal, Hongkong
cgnhk@biznetvigator.com
Address: No. 1 Science Museum Road, Tsim Sha Tsui (East) Kowloon, Hong Kong
Contact: Tel: (852) 2369 7813 Fax : (852) 2824 2970

Consulate General of Nepal, Lhasa
cgnlhasa@mofa.gov.np
Address: Norbulingka Road-13, Lhasa, Tibet, China.
Contact: Tel: 0086-6815744, 6822881

Consulate General of Nepal, Guangzhou
cgnguangzhou@126.com
Address: Room 1109, EAST TOWER, TIANYING SQUIRE, NO. 222, XINGMINLU ROAD, TIANHE, GUANGZHOU
Contact: Tel: 02087066400 Fax: 02087066402

Denmark
Embassy of Nepal, Copenhagen
visa2nepal@gmail.com (For Visa Matters) nepalpassport@gmail.com (For Passport Matters) secretarynepal@outlook.dk (Office Secretary)
Address: Esplanaden 46, 2.sal 1263 Copenhagen Denmark
Contact: Telephone: (+45) 44 44 40 26 44 44 40 35 (Passport Related Matters) Fax: (+45) 44 44 40 27

Egypt
Embassy of Nepal, Cairo
eoncairo@mofa.gov.np
Address: 23 B Mohammed Mazhar Street, Zamalek, Cairo Arab Republic of Egypt.
Contact: Phone: 0020 2 27369482, 0020 2 273369483 Fax: 0020 2 27369481


France
Embassy of Nepal, Paris
nepalinparis@noos.fr
Address: 75017 Paris, France
Contact: Tel: ++33 (0) 14622 4867


Germany
Embassy of Nepal, Berlin
berlin@nepalembassy.de; nepembgermany@gmail.com;
Address: Guerickestrasse 27(2nd Floor) 10587 Berlin-Charlottenburg
Contact: Tel. +49 (030) 34 35 99 -20,-21,-22 Fax. +49 (030) 34 35 99 -06


India
Embassy of Nepal, New Delhi
ambassadornep@gmail.com
Address: Embassy of Nepal Barakhamba Road, New Delhi, India.
Contact: Tel: +91-11 23476200 | 2332 8066 / 9969 / 9218 / 7361 Fax.: +91-11 2332 6857 / 9647


Consulate General of Nepal, Kolkata
nepalconsulate@gmail.com, cgnkolkata@mofa.gov.np, sita.basnet@mofa.gov.np
Address: National Library Avenue, Alipore, Kolkata – 700 027, West Bengal, India
Contact: Tel:+91 33 2456 1224 Fax: +91 33 2456 1410


Israel
Embassy of Nepal, Tel Aviv
nepal.embassy@012.net.il
Address: 2 Kaufman St. 14th floor Tel Aviv 68012.
Contact: Tel:+972(0)3 510 0111 Fax:+972(0)3 516 7965


Japan
Embassy of Nepal, Tokyo
eontokyo@mofa.gov.np
Address: Fukukawa House B, 6-20-28 Shimomeguro, Meguro-Ku,Tokyo 153-0064
Contact: Tel: 03-3713-6241,6242 Fax: 03-3719-0737

 

Kuwait
Embassy of Nepal, Kuwait City
eonkuwait@mofa.gov.np
Address: Al-Jabriya Area Block No. 8, Street No. 13, Building No. 514
Contact: Tel: (00965) 25321603, 25321604, 25321605 Fax: (00965) 25321601, 25321628


Malaysia
Embassy of Nepal, Kuala Lumpur
eonkualalumpur@mofa.gov.np
Address: Wisma Paradise (Level 1, 3 and 9) No. 63 Jalan Ampang 50450 Kuala Lumpur, Malaysia
Contact: 03-2020 1898 03-2020 1899


Myanmar
Embassy of Nepal, Yangon
eonyangon@mofa.gov.np
Address: No. 16, Natmauk Yeiktha Street, Tamwe Township, Yangon, Myanmar
Contact: Telephone : +95 – 1 – 545880, 557168 Fax : +95 – 1 – 549803


Oman
Embassy of Nepal, Muscat
eonmuscat@mofa.gov.np ; eonmuscat@gmail.com
Address: Shatti Al-Qurum Villa 2563, Road 2834, Muscat, Sultanate Of Oman
Contact: Tel: +968 24696177; +968 24696883 Fax: +96824696772


Pakistan
Embassy of Nepal, Islamabad
nepem@comsats.net.pk; eonislamabad@mofa.gov.np
Address: House No. 6, Gomal Road, E-7, Islamabad
Contact: Tel: (+92-51) 2610317-19 Fax: (+92-51) 2610320


Qatar
Embassy of Nepal, Doha
nembdoha@gmail.com
Address: Embassy Of Nepal, Doha, State of Qatar, Zone Number-56, Rawdat Umm Al-Theyab Street, Street Number-681, Abu Hamour Area (Ain Khaled)
Contact: +974 4467 5681, +974 44675680


Russia
Embassy of Nepal, Moscow
eonmoscow@mofa.gov.np (For queries & services: embassyofnepalmoscow@gmail.com)
Address: 2nd Neopalimovsky Pereulok 14/7, Moscow-119121, Russia
Contact: Tel: +7 499 2528215 Fax No.: +7 499 2528000

Sri Lanka
Embassy of Nepal, Colombo
eoncolombo@mofa.gov.np
Address: 15/3, Guildford Crescent Colombo-7 Sri Lanka
Contact: Phone -(+94) 11-268-9656 / 7 FAX -(+94) 11-268-9655


South Africa
Embassy of Nepal, Pretoria
eonpretoria@mofa.gov.np
Address: 976 Francis Baard Street Arcadia,Pretoria,0083
Contact: Tel: 012 342 7546 Fax: 012 342 3619


Saudi Arabia
Embassy of Nepal, Riyadh
info@neksa.org
Address: Al Urubah Street, Al-Jouf Road (Near Sulaymanieh Hotel) Riyadh 11693, Kingdom of Saudi Arabia
Contact: Tel: +966-11- 4611108/ 4645170 Fax: +966-11- 4640690/ 4651823


South Korea
Embassy of Nepal, Seoul
eonseoul@mofa.gov.np
Address: 19, 2gil Seonjam-ro, Seongbuk-gu, Seoul
Contact: Tel: 0082 (02) 37899770/1 Fax: 0082 (02) 7368848


Switzerland
Permanent Mission of Nepal to the United Nations, Geneva
mission.nepal@bluewin.ch, pmngeneva@mofa.gov.np
Address: 81 Rue de la Servette, 1202, Geneva, Switzerland
Contact: Telephone: +41 22 733 2600 +41 22 733 2621 Fax: +41 22 733 2722


Thailand
Embassy of Nepal, Bangkok
eonbangkok@mofa.gov.np
Address: 4/1, Soi 27, Sukhumvit 71 Road, Bangkok 10110, Thailand
Contact: phone: +662 3902280,+662 3917240 Fax: +662 3812406


United Arab Emirates
Embassy of Nepal, Abu Dhabi
nepemuae@emirates.net.ae
Address: Sector W 15-2, Villa No. 13/1, Plot No. 40، Al Karama Street, Al Karama Area
Contact: Call us: +971 2 634 4767, +971 2 634 4385 Fax us: +971 2 634 4469

 

United Kingdom
Embassy of Nepal, London
eon@nepembassy.org.uk
Address: 12A Kensington Palace Gardens, W8 4QU, London, UK
Contact: Phone: +44 (0)20 7243 7859 Fax: +44 (0)207 792 9861

United States
Embassy of Nepal, Washington DC
eonwashington@mofa.gov.np
Address: 2131 Leroy Place, NW Washington, DC 20008
Contact: Tel: +1 (202) 667 4550 Fax: +1 (202) 667 5534


Consulate General of Nepal, New York
cgnnewyork@mofa.gov.np
Address: 216 E 49th Street, 4th Floor New York, NY-10017
Contact: Fax: 917 675 6779 Phone: 917 675 6783

 

Permanent Mission of Nepal to the United Nations, New York
nepal@un.int
Address: 820 Second Avenue, Suite 17B, New York, NY 10017
Contact: Phone: (212) 370-3988 Fax: (212) 953-2038

Source: https://nepalembassy.gov.np/

03May

The importance of Foreign Employment for Nepal

In a globalized economy, foreign employment has become an important source of income for many countries. For Nepal, foreign employment is a vital part of the economy, accounting for a significant portion of the country’s GDP. Nepal is a landlocked country with limited resources and a large population. Foreign employment provides an important source of income for Nepal, which can be used to improve the country’s infrastructure and provide essential services to its citizens. Moreover, foreign employment also helps to reduce the country’s trade deficit and balance of payments.

The employment of foreign workers in Nepal helps to alleviate poverty. A foreign worker is someone who leaves his or her home country to work and earn money in another country. Make sure you understand the warning signs when going for foreign employment and how Nepal can benefit from more foreign workers. This will necessitate the involvement of the government, Manpower Company, and civil society in order to ensure a smooth transition of foreign workers. Lack of efficient personnel slows down the development process. It may result in the spread of a wide range of infectious diseases. Social evil can cause social unity to erode.

“In a globalized economy, foreign employment has become an important source of income for many countries. For Nepal, foreign employment is a vital part of the economy, accounting for a significant portion of the country’s GDP. Nepal is a landlocked country with limited resources and a large population.”Author

The ability to communicate with others is improved as you work abroad. In this case, the income generated is in foreign currency, whose value in the home country could be excessive. A higher bank balance is beneficial. Working in another country can be a great opportunity to learn about various cultures and traditions.

According to Rituram Soti, the Safe Immigration Project district coordinator, foreign employment has resulted in separation from family and children, lack of care for children and elderly members, family mismatches, disintegration, divorce, and social stigma.

When economic growth in the destination country leads to increased demand for low-skilled labor, Nepalis seek work abroad as a result of poverty, unemployment, slow economic growth, and political instability at home.

The Foreign Employment Act of 1985, which was passed in 1985, was the first to address the issue of foreign labor migration in Nepalese communities outside India. This act is intended to protect Nepalese people’s economic interests while ensuring that their ability to join foreign employment is managed, controlled, and regulated.

What Is Foreign Employment And Its Importance?

The unemployment rate in a country will be reduced if foreign workers are hired. Furthermore, it may aid in the development of international relations because the country will have to enter into labor contracts with other countries, and there will be embassies there.

Foreign employment, in turn, helps to alleviate the country’s unemployment problem. Due to a lack of job opportunities, Nepalese youth are forced to leave their homes for opportunities in various countries around the world. According to the report 2060/61, approximately 3.8% of the Nepalese population is considered fully unemployed. Nepal’s citizens travel to other countries to find work and earn money. Foreign employment is necessary for the following reasons. Foreign currency can be used to establish industries in a country as a means of receiving foreign currency. You can easily get a job if you earn money in another country and improve your skills.

 Working abroad may provide a number of advantages in addition to the following. Foreign employment reduces the country’s unemployment rate. Foreign employment helps to develop international relations because a country must establish embassies and labor contracts in other countries, which are necessary for international employment. Learning a new language can be accomplished in a short period of time with foreign employment. If a foreign national is employed, he may be able to earn in foreign currency. Foreign employees may not be able to enjoy traditional holidays at home as much as locals. Foreign employment may lead to the interaction and targeting of various groups of people. Foreign employment may provide a different standard of living than that of home.

The Importance Of Foreign Employment

As a result of these benefits, it is critical for a country to have a robust labor market. Many countries are experiencing labor shortages as a result of a number of factors, including a lack of skilled workers and a declining birth rate.

Various countries are attempting to address these issues by implementing various strategies to recruit foreign workers. In addition to increasing visa availability, the government may provide incentives such as tax breaks and free housing, in addition to increasing job openings.

Every country must create an environment that encourages foreign employment in order to be successful. This will help to alleviate some of the labor shortages that are currently affecting a large number of countries.

What Are The Advantage Of Foreign Employment?

Being able to learn and experience new cultures, customs, and traditions is one of the benefits of foreign employment. As a result, you will be able to develop a more global and open mindset while also cultivating a broader perspective on the world around you.

When an organization employs employees from outside its borders, it gains a wide range of benefits. Employers are more likely to hire foreign workers if they have a diverse group of individuals. You will not have to deal with the stress of managing all of your foreign employees after they have joined your company with Multiplier. By doing so, you would be able to identify the most talented individuals to work with you in any given job role. Allowing international employees to apply for jobs would help the company gain a competitive advantage. The hiring of international workers allows you to blend in with the native population while also keeping your company’s products and services relevant to them. Furthermore, by focusing on a variety of viewpoints, you can alleviate the challenges that come with work.

If a company is going to hire a remote employee from another country, it must set up a local company in that country. Multiplier can assist you in this process by providing you with a localentity in each of your country’s borders. Our team of specialists can also deal with the broader compliance and benefit management needs of your global employees. There are few problems with your organization’s integrity or commitment when it comes to finding an international employee. They may need to be trained in order to follow company policies. Internal communications are usually carried out through video conferences or by email, which can result in miscommunication and project delays.

Travel abroad can broaden your horizons and allow you to gain a better understanding of the cultures and practices of different countries.

More potential for earning: If you can find work abroad, you are more likely to earn a higher salary than in your home country.

However, working abroad has its disadvantages, despite the fact that it is undeniably advantageous. Foreign workers: If you are unable to find an equivalent job in your home country, it is possible that you will be forced to stay in a foreign country to maintain your income.

There are frequently greater social problems and criminal problems in countries with a lower level of social norms and laws than in countries with a higher level of social norms and laws. As a result, both you and your colleagues may be exposed to additional risks.

Because most countries do not have the authority to regulate the number of foreigners working in their countries, a large number of illegal workers are likely to continue to work there. If caught, you could face legal consequences, as well as potentially hazardous working conditions.

Why Foreign Employment Are Increasing In Nepal?

There are many reasons why foreign employment is increasing in Nepal. One of the main reasons is the lack of employment opportunities within Nepal. Many Nepalese citizens are forced to look for work outside of their country in order to provide for themselves and their families. Additionally, the political instability and violence that has plagued Nepal for many years has made it an unattractive destination for foreign investors and businesses. This has led to a decrease in jobs available, further forcing Nepalese citizens to look for work elsewhere. Additionally, the wage disparities between Nepal and developed countries is another major factor contributing to the increase in foreign employment. Nepalese workers are often willing to accept lower wages in order to be able to work and provide for their families.

 

Nepal has experienced an increase in outbound migration since the 2000s. The oil boom in the Gulf Cooperation Council (GCC) countries and a labor shortage in South East and East Asian countries are causing a labor shortage. The Nepalese government expects that migrant worker remittances will account for 203.5% of Nepal’s GDP in 2020. The steep drop in labor demand in Malaysia has resulted in a surge in labor supply in the Gulf Cooperation Council countries. Foreign employment laws and regulations that are not updated to reflect current market developments are a major impediment to foreign employment. Restrictions imposed time and again on women traveling abroad as domestic help has had a significant impact on the mobility of women migrant from various countries. Because of the rapid aging of countries such as Japan and South Korea, the demand for Nepali workers abroad is expected to increase. Although adequate policies for migrant workers are needed, this remains a challenge. As a partner, Nepal should focus on signing Government-to-Government (G2G) labor agreements with new destinations.

 

Nepalese nationals working abroad have increased dramatically in recent years. The economy has been rejuvenated as a result of the increased remittance flow. The Nepalese government should seize the opportunity and employ Nepalese workers in other countries to grow the country’s economy. Nepal has several advantages that make it an appealing destination for foreign workers, including its low cost of living, skilled workforce, and proximity to other countries. Nepal should invest in its tourism sector, which could result in new job opportunities. The government should encourage Nepalese workers in other countries to work on infrastructure projects, such as road construction and bridge construction. Furthermore, the government should create policies to support the development of self-employment and entrepreneurship. In addition to providing a variety of benefits for Nepalese workers and the country, employing Nepalese workers in other countries can provide significant advantages. Nepal is a desirable destination for overseas workers due to its low cost of living, an experienced workforce, and proximity to other countries.

 

Nepal’s Foreign Employment: Why It’s Important

Foreign employment is required in Nepal because it has helped to alleviate the country’s unemployment problem. There has been some money made from it. It has resulted in an increase in the country’s income and an increase in the country’s investment.

 

Why Employment Is Important For A Country?

Employment is important for a country because it can provide people with the means to support themselves and their families. It can also help to reduce crime and improve the economy.

 

The International Monetary Fund’s Economic Issues Series aims to provide a wide audience of non-specialists with access to some of the fund’s research. The findings of this study, which examined job creation in industrial countries over the past two decades, particularly in Europe, are presented in this paper. In the past two decades, employment growth in advanced economies has varied widely. In addition to the United States, Canada, Australia, and New Zealand, they all created far more jobs than the rest of the European Union. There was little job growth in Europe, France, Italy, and some of the Nordic countries, but there was a lot in the Netherlands and Ireland. According to data, policies that reduced dismissal costs and taxes may have been more effective at increasing job creation. When the focus is narrowed to just a few European countries, the evidence is less clear cut.

 

Part-time employment has played a major role in the Netherlands’ growth. The link between job creation and output growth is unmistakable. The country’s rapid job growth may be due in part to a productivity-creating miracle. It is possible that low output growth was a factor in the job growth performance of Greece and Sweden. When a country has flexible labor market institutions, it may create more jobs because it is able to hire and invest more capital in order to meet rising demand. The IMF examined employment data for 11 economic sectors in 11 countries between 1982 and 1994. Slow job creators also suffered from unfavorable historical conditions, just as high-fliers did when the conditions were favorable.

 

According to the analysis, the initial mix of jobs in an economic sector has a significant impact on job creation overall. It is estimated that a single sector difference accounts for only a small portion of the differences in job composition among countries. By 1994, the number of jobs in Italy would have increased by at least 1,200,000 if the sectoral mix of employment had been the same as the sample average at the time. In all eleven of the sectors examined, the United States created more jobs than Italy. When there is a high proportion of unionized workers, wages and unemployment rise. Taxation and employment protection laws, on the other hand, are not always straightforward. Tax cuts are said to increase employment only when the ratio of net wages to unemployment benefits rises.

 

Taxes are thought to raise unemployment and decrease economic output, according to other research. According to an IMF study, employment protection appears to have a negative impact on job creation, as does a higher level of overall taxation. With a 1 percentage point cut in total taxation, an increase in average job creation of approximately 5.45 percentage points is anticipated. The study’s statistical conclusions should be interpreted with caution, especially given the small number of observations. Since the mid-1980s, part-time jobs have accounted for roughly half of the country’s job growth. Women had much faster growth in employment than men in the majority of European Union countries between 2007 and 2010. Despite increases in employment for people aged 25 to 49, employment among people aged 50 to 64 was stagnant.

 

In this study, the share of part-time employment in Europe is compared to overall employment growth. If there was an increase in overall employment of 50 jobs, there would be no net gain in total work hours. The relationship between part-time job creation and total employment in individual countries can be estimated using a more detailed set of data. In the services sector, an increase in part-time employment was linked to an increase in overall job counts and a decrease in the number of full-time jobs. Over the last two decades, temporary employment has accounted for nearly all of Spain’s job growth. Spain’s employment rate now stands at one-third, which is the highest of any advanced country. Part-time workers in the Netherlands do not want a full-time job, according to a study.

 

The economy will benefit from this increase in demand in the short term. It is beneficial to the economy because it increases spending and creates jobs. This strategy can be particularly effective in times of recession when the economy is sluggish.

A job can be created at the same rate whether it is created or not. Some jobs may not provide much or no income, may be physically demanding, or may be unappealing. As a result, stimulus provided by them may not be as effective as stimulus provided by other types of jobs that provide a higher income or are more straightforward to obtain.

Employment has the potential to boost the economy for the long term. A revival of domestic demand for goods and services is one of the reasons for this. As a result, the country may be able to increase economic growth.

Employment can also be used to help heal the social rift. This is due to the fact that it can aid in the resolution of social isolation, poverty, and unemployment issues. Aside from that, it may encourage the return of displaced people and improve their social standing over time.

In fact, creating jobs is a major component of the economy. As a result, it can boost the economy, raise domestic demand, and help people heal their social divisions. As a result, it is essential for any country to maintain macroeconomic stability.

 

Positive And Negative Impact Of Foreign Employment In Nepal

The positive impact of foreign employment in Nepal is that it provides employment opportunities for Nepalese workers in other countries. This can help to reduce unemployment and underemployment in Nepal. Additionally, foreign employment can help to improve the Nepalese economy through the inflow of foreign currency. The negative impact of foreign employment in Nepal is that it can lead to a brain drain, as skilled and educated Nepalese workers leave the country to work in other countries. Additionally, foreign employment can put downward pressure on wages in Nepal, as Nepalese workers are often willing to work for lower wages than workers from other countries.

 

Remittances are used to support the country of origin for which a migrant is from. A country that receives migrant remittances reduces its poverty levels and severity. They use this money to supplement their income, as well as to make investments and consumption decisions on their own. In addition to lowering their consumption, education, and health expenses, remittances to remittance-recipient households have a significant impact on savings and consumption, according to the study. Despite the fact that the increasing importance of remittances for international capital flows has not been adequately addressed, this is an important feature. Reimbursements are an excellent way for investors to finance their investment while addressing liquidity issues. When measured against income in the worker’s country of origin (receiving) and his or her country of residence (sender), their income is countercyclical, implying that they should be included in a currency area’s list of criteria.

 

In this paper, we examine the distinction between remittances’ indirect and direct effects. Based on panel data from 40 high- remittance recipient countries, our model incorporates a system GMM panel data estimation method. Remittances stimulate growth in countries where financial systems are underdeveloped by providing an alternative source of funding for investment while also assisting in the resolution of liquidity issues. High emigration is important both at micro and macro levels due to the country’s land-locked economy battered by a decade-long Maoist insurgency (1996–2006), prolonged political instability, slow growth rate, and widespread youth exodus for jobs abroad. It may be prudent to live with the fact that it is extremely expensive to sterilize the impact of remittances each year. A country with high-quality political and economic policies and institutions is more likely to see long-term growth driven by remittances. This paper concludes that contradictory findings have been produced by an omitted variable bias.

 

What Are The Impact Of Foreign Employment?

Foreign employment can have a significant impact on household income and living standards, both domestically and internationally. Remittance income strengthens national financial stability as well as household finances, particularly in countries where more people receive it.

 

Foreign Employment Is Not Always Beneficial For Developing Countries

Many developing countries rely heavily on foreign employment to spur economic growth. However, foreign employment is not always beneficial for developing countries. First, foreign employment can lead to brain drain, as talented workers leave their home countries to seek better opportunities abroad. This can exacerbate the already-existing skills shortage in developing countries. Second, foreign employment can create dependency, as countries come to rely on foreign workers to prop up their economies. This can lead to economic instability and make countries more vulnerable to shocks. Finally, foreign employment can lead to social disharmony, as workers from different countries compete for limited jobs. This can create tension and conflict within societies.

 

Stakeholders are concerned about the negative effects of foreign employment on society. Foreign employment can lead to problems such as separation from family and children, divorce, social stigma, and mental stress, according to one study. Foreign employment has resulted in a variety of issues such as debt, fraud, imprisonment, exploitation, homelessness, mutilation, and even death. On December 18, it is observed as International Immigration Day, with the slogan “Conducive, skilled, and safe employment, the basis of enlightened labor employment.” During a ‘1 rupee’ campaign, migrant worker’s rights group, the Migrant Workers’ Rights Protection Forum, established scholarships for students. Families whose children have died while working in foreign countries have received educational materials to assist them with regaining contact with their children.

 

What Are The Problems Of Labour Force In Developing Countries?

There is a great deal of unemployment, low wages, discrimination, and other issues, all of which can be difficult to overcome; however, having one can be beneficial in some low-income countries, especially in terms of living standards.

 

The ILO’s Plan To Reduce Unemployment In Developing Countries

Many developing countries continue to struggle with high levels of unemployment and working poverty despite significant economic, social, and institutional improvements. Although macroeconomic factors such as restrictions on exports, excessive foreign exchange rates, and low productivity contribute to unemployment, they are not the sole cause of it. Furthermore, an excessive tendency to import, a lack of institutional capacity, and a lack of human capital are all significant issues. In developing countries, the International Labour Organization (ILO) has identified a number of strategies for addressing unemployment, including targeted public investment, targeted labor market reforms, and strengthened labor rights. Each of these strategies, on the other hand, necessitates a significant amount of political will and resources, which are frequently difficult or impossible to obtain in less developed countries. Policymakers must find ways to use existing resources in order to create new, more effective strategies with minimal cost and time. To reduce unemployment and working poverty in developing countries, we must implement a variety of interventions, including targeted public investment, reform of labor markets, and strengthen labor rights.

 

Source: https://www.forestrynepal.org/the-importance-of-foreign-employment-for-nepal/

 

02May

The Ultimate Guide For Choosing The Best Recruitment Agency

Due to a lot of agency scams nowadays. People often tend to look for legit and trustworthy agencies. In this guide, we will give you information on how to choose the best recruitment agency. Read on to know more.

What is a Recruitment Agency?

Recruitment agencies are essentially the middlemen between job seekers and employers. They work on behalf of employers to find suitable candidates and to fill their vacancies with the best possible talent.

They are tasked by employers to save time and money and access the extended candidate net that a direct advert and company network cannot reach. TechForce and other recruitment agencies are needed because hiring employees can take a significant amount of time.

Hiring the right person is important, and with today’s competitive job market, an employer can look through hundreds of applications to find a suitable candidate to interview.

“Hiring the right person is important, and with today’s competitive job market, an employer can look through hundreds of applications to find a suitable candidate to interview.”Author

Benefits of Working with a Recruiting Agency

 

Benefits for Job Seekers

 

1. Your Job Search is Streamlined

Working with a staffing firm can be a simple way to streamline your job search. Many people may not realize that working with a third-party recruiter is free. The nice part about working with a recruitment agency is that you are essentially crowdsourcing your job search efforts.

 

2. You Partner with a Skilled Recruiter

Agency recruiters will learn what you’re looking for, your career goals, and the type of work environment you seek.

 

3. You Gain Access to Multiple Employers and Jobs

A staffing agency is a liaison between job seekers and employers, so from there, your recruiter will identify interested companies. You’ll gain access to job openings that aren’t available on other job sites. In addition, you’ll have a wider variety of options than if you were searching for a job alone.

 

4. You Receive Help with Scheduling Interviews and Polishing Your Resume

Agency recruiters will then coordinate interviews, help you prepare for them, and polish up your resume with you if needed.

The relationship with your recruiter doesn’t end when you start your new contract job. Another benefit when working with a staffing agency is that you continue to receive support.

 

Benefits for Employers

 

1. Access to the Best Candidates

Recruitment agencies have access to a range of talented jobseekers – at TechForce, we have a growing database of over one million CVs.

 

Skilled job seekers don’t have time to search for job boards. Instead, they use a recruiter that they can trust to find the right role. The best recruiters will spot technical ability as well as a candidate that aligns with your company values, resulting in a long-term successful hire.

 

1 in 3 job seekers will change a job within their first year. Find the right candidate using a recruitment agency and avoid this costly statistic.

 

2. Save Time & Money

Using a recruitment agency is quicker than hiring internally and will save your business time and money. Recruiters collect and assess CVs, check references, and filter talented job seekers using the best interview techniques, so businesses don’t have to.

 

Build a relationship with a recruitment agency. Once a recruiter understands your business and goals, they will hire the right people in a timely, cost-effective manner.

 

3. Industry Expertise

A good recruitment agency will offer specialist recruiters for specific industries. Partner with a recruitment agency that understands your industry and they will offer industry-specific knowledge of market trends, salary levels, and the skills required to be successful in your industry. Industry-specific recruiters also have access to skill-specific candidates.

 

4. Expert Recruitment Law Opinions

Recruitment law is complex and often misunderstood. Common areas of confusion include diversity in the workplace, maternity leave, wages, and unfair dismissals.

 

Recruiters are constantly updated with recruitment law and will help you avoid legal complications. At TechForce, we have a dedicated legal team that works with recruiters and companies to ensure employment law is adhered to during and after the hiring process.

 

5. Enable Business Growth & Innovation

If you build a relationship with your recruiter, they can help your business grow and strengthen. At Tech Force, our specialist recruiters work with companies of all sizes, from innovative start-ups to large multinationals, providing recruitment services, training, and outsourcing services.

 

Using a recruitment agency means you find the best talent, and you receive support to maximize your business’s potential. Recruitment agencies don’t just provide people, they provide talent and support to help businesses grow.

 

Tips for Finding the Right Recruitment Agency

 

For employers

 

1. Assess Your Company Requirements

Assess your business needs and ensure you know whether you need one or more job applicants. Determine the job position, necessary skills, and knowledge. 

 

These insights will help you decide the kind of recruitment agency you need and their field of specialization. You’ll understand the type of social network they should have, the size, and the approach to hiring. 

 

However, it’s crucial to share your business needs with the recruitment agency when discussing the matter. 

 

2. Treat Recruitment Agencies Like Job Applicants

The right recruitment agency should be capable of identifying and reaching a candidate that’s compatible with the job position. To determine whether they can achieve that, treat them and interview them like job applicants. 

 

Ask questions that’ll allow you to understand if they can meet your needs and do what they promise to do. For instance, you can ask them if they have access to candidates who could be a great match, how they select job applicants, and how long they’ll need to find the ideal talent.

 

3. Check Your Budget

The ideal recruitment agency should be within your company’s budget. Look for the one you can afford, and that has a history of successful hiring.

 

Avoid those that promise stellar results and charge a fortune but have no data that could confirm their words.

 

4. Identify The Type Of A Recruiting Agency

Ensure you’re choosing the right type of recruitment agency or you risk wasting your resources. For example, if you need short-term staff, go for a staffing hiring agency. 

 

On the other hand, if you’re aspiring to hire an executive, an executive recruitment agency would be a good choice. However, general recruitment agencies are the answer if you’re looking for employees on other levels or specialized in a particular field. 

 

5. Run Background Checks

When choosing the right recruitment agency, it’s essential to find testimonials and contact their previous clients with the same size and type of companies as yours. Check whether their results match what they say they can do for you and select the most reliable agency. 

 

Your business deserves the best. Hence, know your needs when choosing the right recruitment agency, ask questions to determine if they’re the best fit, and ensure they can deliver stellar results. 

 

For Jobseekers

 

1. How Long has the Consultant been Recruiting?

There are many factors to consider when choosing a recruitment agency, including the experience of the recruiters who work there. How long has your consultant been recruiting? What experience do they have in your professional area? Do you really want to entrust your search to someone who does not have a track record in recruitment or your industry?

 

2. Research them Online

Anyone who is visible within a certain network should leave some sort of digital footprint. What does their LinkedIn say about them? Have they written any articles or posted about topics that you can relate to?

 

3. Who Will Remain Accountable During Your Search?

Some recruitment agencies separate the recruiter from the salesperson. It’s important to find out if your recruiter has actually spoken with the employer, understands their corporate culture, and has a sense of what the vacant role will truly be responsible for achieving. How does the recruiter really know you are going to a good home?

 

4. Ask for Contactable References from other Job Seekers.

Find out if the recruiter “walks the talk.” Learn if the recruitment agency and the recruiter fairly represent both their clients and their candidates, which they should.

 

5. Do they Spend Time Learning About You?

During your interview with the recruiter, do they identify your tasks and key skill sets that you wish to target in your new role? A good recruiter will ensure that your next career move is conducive to your growth, development, and personality. A good interview will be face-to-face for about one hour (not 15 minutes) and will include suggestions to improve your resume and interview skills.

 

6. Do they Help You Through the Hiring Process?

Does the recruiter prepare you for upcoming company interviews, give you insight into the culture, promotional opportunities, team dynamic, and management style of the company, and provide you with candid feedback after the interview?

 

7. When You Receive an Offer, A Recruiter Should Advise and Negotiate on Your Behalf.

A recruiter should support you through the entire hiring process, including providing advice when a job offer is made and helping you negotiate salary, benefits, and other forms of compensation. Furthermore, a recruiter should not take it personally or choose not to work with you again if you decide a specific opportunity is not right for you. All a good recruiter asks is that you are honest and communicative throughout the entire process when partnering with them.

 

If you are looking for a career change, look at these job opportunities.

 

Additional Reminders for Choosing the Best Recruitment Agency in the Market

 

Check Reviews Online and Compare Recruitment Agencies in the Market

There are several great platforms online to check your options. You can type in the company size, industry, and ideal budget range to get a list of recommendations. 

 

Additionally, these have tons of reviews there that you can read written by real and actual clients. It’s best to double-check because you would want to maximize the partnership as much as possible, right?

 

Check Listings of Recruitment Agencies and Recruitment Software

There are tons of listings online that show the top recruitment agencies in the world or certain countries. Do your due diligence and look them up.

 

You can also check out top recruitment software lists such as this one. Why check out such software? The recruitment agency might be using a tool for their hiring efforts, and you might be unaware of what they are.

 

Conclusion

The right recruitment agencies work for all kinds of companies and job seekers. Assess your company’s requirements, limit your criteria, and gain access to multiple employers or jobs. The only possible way to do this is by choosing the best recruiting agency like TechForce.They have everything that a company and jobseeker needs from a decent, legit, and trustworthy agency.

 

Source: https://www.techforce.com.au/how-to-choose-the-right-recruitment-agency-for-you

01May

Mismatches in Labour Market

In addition to difficulties in mobilising financial resources, Nepal’s industrial sector is now facing an acute shortage of skilled and semiskilled labourers. The situation in the agricultural sector which contributes 23.9 percent to the gross domestic product is no different. According to private employers, the shortage has pushed up wages to unfeasible levels, forcing them to hire migrant workers from neighbouring countries.

The Nepal Labour Force Participation Rate, a measure of the proportion of a country’s working-age population actively engaged in work or looking for a job, is estimated to be 40.8 percent. By this measure, considering Nepal’s current population of 29.2 million, the number of people available in the labour force is expected to be 11.91 million. When this figure is compared with the country’s population pyramid, the active working-age population between the ages of 20-64 years is 53.2 percent or 15.53 million. The difference, representing the active age population which is not yet part of the country’s labour force, is 3.62 million. This is either disguised unemployment or emigration to foreign countries for employment.

“Nepal is entering a new phase of industrial practices in line with global trends.”

Labour migration

A World Bank study on labour migration shows that approximately 2.69 million Nepalis work abroad, including 733,000 in India. As per the latest data released by Nepal Rastra Bank, the central bank, the number of workers that left the country during the first eight months of the current fiscal year (till mid-March) is 544,230; out of which 351,761 took new approvals and 192,559 renewed their old permits to work abroad.

 

According to World Bank data, 12.2 percent or 2.06 million (out of 16.93 million) Nepali people between the ages of 15-64 years are unemployed. The partially employed population is estimated to be 21 percent. The number of Nepalis migrating to third countries without a formal work approval, seasonal migrant workers going to India, and youths leaving for higher studies abroad is also significant.

Gender and geographical dimensions that constrain participation in the labour force also substantially reduce the net number of actual working people. The No Objection Certificate (NOC) section of the Ministry of Education, Science and Technology issued 117,563 NOCs to Nepali students to study abroad during the last nine months of the current fiscal year, providing another example of how the workforce is being drained.

Also, the data of the Bilateral Migration Matrix largely substantiates the claim of Nepali industrialists that they are forced to rely heavily on foreign workers to keep their factories and businesses running. In 2021, for example, 487,564 foreign migrant workers came to work in Nepal. Among them were 426,941 Indians, 27,502 Bhutanese and 19,428 Chinese. They sent home $1.7 billion in remittance in the same year.

The mismatches

Despite the exodus of Nepali working-age youths, a back-of-the-envelope calculation indicates that at least 1 million to 1.5 million persons should have been available in the domestic labour market. The number of applicants to the government’s funding schemes like the Prime Minister Self-Employment Programme and Youth and Small Entrepreneur Self-Employment Fund reaches hundreds of thousands each year. These hopefuls should offset the demand for foreign workers, but that doesn’t appear to be happening.

The first reason is skills mismatch, the difference between the skills sought by the productivity and profit-oriented private sector and the presence of these skills in potential employees. Nepal’s academic and vocational training ecosystem has failed to produce mid-level managers and semi-skilled workers. Even marginally trained workers leave the country not only for better pay, but also due to peer pressure to work abroad despite comparable salaries in many technical sectors at home.

Second, Nepali employers do not seem to possess honest intentions to hire Nepali workers. One of the main deterrents is the compulsory social security contribution that employers have to shoulder after hiring a Nepali worker. Equally repelling is the pervasiveness of politically protected trade union organisations and their aggressiveness. So employers prefer to hire easily available foreign, mainly Indian, employees who may also possess better technical or professional skills on contract basis without any additional or long-term liabilities.

Third, Nepal is entering a new phase of industrial practices akin to global trends and practices. This is creating demand for workers with a new set of skills. For example, the Nepali private sector has invested heavily in hydropower projects which needs specially trained manpower for civil, electrical and transmission line engineering works. Every single task these days is integrated or related to knowledge of information and communication technology, digitisation and automation, but there are very few institutions dedicated to producing quality manpower in the field. New and emerging approaches to green, sustainable and socially responsible business and production practices warrant a systematic exposure of workers in these areas.

Nepal’s education system is marred by policy confusions and appears to be completely indifferent to the demand-supply paradigm of the Nepali labour market. Only a small section of society has access to technical and vocational training. Instead of gradually increasing the number of these institutions, the existing ones are being rendered dysfunctional or liquidated.

Another inconsistency is between the formal degrees awarded by academic institutions and the skills possessed by the degree holders. The higher education institutions which are producing unemployable degree holders do not admit their failures. As government policies and private sector practices do not ensure employment upon completion of education, labour market mismatches in multiple dimensions are growing. In light of the rapidly changing demographic and technological dynamics, a coherent approach by academia and the public and private sectors is needed to map out labour, wage and economic outputs instead of the blame game and self-obsessed practices.

Achyut Wagle

Achyut Wagle holds PhD in economics and is currently a professor at the Kathmandu University School of Management. He is an econo-political analyst, writing for The Kathmandu Post for many years.

 

Source: https://kathmandupost.com/columns/2023/04/24/mismatches-in-labour-market