First Business News Portal in English from Nepal
KATHMANDU: A high-level commission will be established by the Ministry of Labour, Employment and Social Security to look into fraud in foreign employment. The Department of Foreign Employment alone cannot investigate fraud cases, so the ministry has prepared to establish a high-level commission with authority.
Fraud is a serious problem, according to Labor Minister Sarat Singh Bhandari. He estimates that the department has between 15,000 and 20,000 fraud files. People from the Madhesi community, who themselves have fallen into the trap of high interest rate to seek employment abroad, are suffering the most as a result of this.
Cooperatives and microfinance are also bothering them, he claimed. “By establishing a powerful commission with the authority to serve the victims with justice, I have begun laying the groundwork for taking action.”
Beginning on June 21, 2015, the government had instituted a policy of providing free visas and travel for employees traveling to Malaysia and the Gulf.
The government adopted a policy stating that manpower companies could charge 10,000 for service fees but not visa or ticket fees.
Although the employer company paid the manpower professional’s service fee, it is against company policy to deduct even 10,000 rupees from employees.
To buy the visa and send it to the businesses that brought the demand letter, the manpower companies, however, charge a service fee of more than Rs. 1 lakh.
In this way, individuals who have traveled to work abroad are deprived of just compensation if they are forced to return without receiving the employment and pay specified in their employment contract.
Ritesh Karn of Janakpur claimed that after sending 320,000 to Malaysia, he was forced to return without receiving the job promised in the contract. “Manpower does not return the money,” he complained. “Kathmandu does not give justice, and there is tension at home due to the meter badge.” When he went to the department, they demanded the payment receipt, which I did not have. ‘
With a claim for 228.7 million rupees in 87 cases, the department has brought a case before the Foreign Employment Tribunal. During the department’s conciliation of 413 cases involving employees and staffing firms or individual transactions, 317.9 million rupees have been returned.
“The fraud case is putting a lot of pressure on us. Director general of the department Madan Dahal stated, “We are unable to provide compensation legally because the employees do not have proof of the amount given.
1,171 complaints have been filed as of May 2023, with 485 on the institutional (manpower) side and 686 on the individual side. The compensation claim is for 566.68 million rupees.
In addition, the department is still working on about 20,000 cases. The department claims that as more files are being created due to a delay in digging up fraud files, there are not enough investigation officers to handle the workload.
The department’s files will be completed, according to Minister Bhandari. He promised that he would “immediately and effectively monitor the performance of all agencies involved in the field of foreign employment.”
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