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Nepal


LABOUR REGULATION, 2050 (1993)

     His Majesty's Government in exercise of the powers conferred
by Section 86 of the Labour Act, 2048 has made the following
regulation.

CHAPTER - 1: Preliminary

1.   Short Title and Commencement:

     (1)  These regulations may be called "Labour Regulation,
          2050 (1993)".

     (2)  These regulations shall come into force immediately.

2.   Definition:

     Unless the subject or context otherwise requires, in these
     regulations,

     (a)  "Act" means Labour Act, 2048.

     (b)  "Factory" means an Enterprise involved in production
          business.

CHAPTER - 2:  Security of Profession and Service

3.   Time for deploying Minor at work:

     (1)  While engaging the minor worker or employee of more
          than fourteen years and less than sixteen years of age
          in the work of any Enterprise, they shall not be
          deployed in work for more than six hours per day or
          thirty six hours of work per week under Sub-section
          (2) of section 5 of the Act.

     (2)  While engaging minor worker or employee of more than
          sixteen years of age for the period other than from 6
          A.M. to 6 P.M., they may be deployed in work as per
          the mutual consent entered between such minor worker
          or employee and Proprietor.

4.   Time for deploying women at work:

     (1)  While deploying women worker or employee from 6 A.M.
          to 6 P.M. in the Enterprise other than of as mentioned
          in clause (a) of section 48, they may be deployed in
          work as per the mutual consent of entered between
          women worker or employee and Proprietor.

     (2)  While engaging women worker or employee as per Sub-
          section (1), the Proprietor shall have to arrange for
          their proper security.

     (3)  The Proprietor shall have to provide the notice of
          engagement of any women worker or employee pursuant to
          Sub-section (1) to Labour Office.

5.   Other Particulars to be maintained in the Register of
     Workers or employees:

     In addition to the particulars mentioned in Sub-section (1)
     of section 9 of the Act, the Proprietor shall have to
     mention  following particulars in the Register :-

     (a)  Date of first appointment, designation and address of
          the worker or employee.

     (b)  Date of birth of worker or employee.

     (c)  Nationality of worker or employee.

     (d)  Name of his Department or Section.

     (e)  Particulars regarding leave.

     (f)  Particulars regarding other privileges.

6.   Circumstances in which Non-Nepalese Citizens may be engaged
     in work:

     (1)  In case skilled Nepalese citizens are not available to
          carry out the works of the Enterprise as per Sub-
          section (1) of Section 4 of the Act, Non-Nepalese
          citizen may be engaged by appointing on contract basis
          for a term in maximum of two years at a time with the
          approval of the Department of Labour on the
          recommendation of Labour Office.

     (2)  The Proprietor engaging Non-Nepalese Citizen pursuant
          to Sub-rule (1) shall make arrangements to replace
          Non-Nepalese Citizen by Nepalese worker or employee by
          making them skilled in the work of such Nepalese
          national.

7.   Other provisions regarding not awarding remuneration and
     other privileges to worker or employee remained in Reserve:

     In case an agreement is entered between Proprietor and
     worker or employee kept in reserve pursuant to Section 11
     of the Act, saying that the worker or employee need not to
     be present in the Enterprise, then such worker or employee
     shall not be entitled to remuneration and other privileges
     as per that agreement.

8.   Order of retrenchment of worker or employee:

     In case it is required to retrench the worker or employee
     on the last come first out basis pursuant to Proviso Clause
     of Sub-section (2) of section 12 of the Act, the proprietor
     shall have to retrench them in the following order :-

     (a)  If the worker or employee appointed earlier is
          Non_Nepalese citizen, then such worker or employee has
          to be retrenched, not retrenching the Nepalese Citizen
          even he is appointed later on,

     (b)  In case the worker or employee is absent for the
          longer period due to health condition,

     (c)  In case there are any other reasons.

CHAPTER - 3:  Remuneration and Welfare Provision

9.   Formation of Minimum Remuneration Fixation Committee:

     His Majesty's Government, by a notification published in
     Nepal Gazette, shall constitute a Minimum Remuneration
     Fixation Committee, as necessitated from time to time, for
     fixing the minimum remuneration of the worker or employee,
     having equal representation of worker or employee,
     Proprietor and His Majesty's Government.

10.  Power, Rights and duties of the Minimum Remuneration
     Fixation Committee:

     In addition the function mentioned in Sub-section (3) of
     the section 21 of the Act, the other powers, rights and
     duties of the Minimum Remuneration Fixation Committee shall
     be as follows :-

     (a)  To provide necessary recommendation to His Majesty's
          Government in respect to fixing minimum remuneration
          of workers or employees.

     (b)  To recommend as per clause (a), keeping in view of the
          study of present status of current market value,
          review and present financial, monetary and social
          context of the country and also affordability of the
          Enterprise.

     (c)  The Committee may take opinion of the concerned
          experts while rendering advice and suggestion to His
          Majesty's Government in the matters of fixing the
          minimum remuneration annual increment of remuneration,
          dearness allowance and other privileges.

11.  No discrimination to be done in remuneration:

     Equal remuneration shall have to provided without making
     discrimination to male or female worker or employee for
     engaging them in the works of the same nature of functions
     Enterprise.

12.  Limitation, manner and time limit for deduction of
     remuneration:

     (1)  If the remuneration of any worker or employee is to be
          deducted in accordance with Section 24 of the Act, it
          shall be done subject  to the following provisions :-

          (a)  For realising any amount as fine not exceeding at
               the rate of thirty three percent of the
               remuneration payable each time until the fine
               amount is not fully realised,

          (b)  For realising any amount for deliberate or
               negligent damage to or loss of cash and the other
               property of the Enterprise, not exceeding at the
               rate of twenty five percent of the remuneration
               payable each time until the dues is fully
               realised, 

          (c)  For realising any advance or excess money paid to
               the worker, at the condition agreed upon between
               the Proprietor and worker or employee if there
               already exists any agreement between them and in
               absence of such agreement, not exceeding at the
               rate of twenty five percent of the remuneration
               payable each time until the dues is fully
               realised,

          (d)  For realising any amount in pursuance of
               government order or court decree, if a time limit
               has been specified in such order the dues shall
               be divided in the rate of percentage required to
               be realised and if no time limit is specified,
               not exceeding at the rate of fifty percent of
               remuneration payable each time until the dues is
               fully realised.

          (e)  For realising any amount deductible under
               circumstances specified by His Majesty's
               Government by a notification published in the
               Nepal Gazette, not exceeding the rate of fifty
               percent from the remuneration payable each time
               until the dues is fully realised.

     (2)  Notwithstanding anything mentioned in Sub-rule (1), in
          case any worker or employee dies or his service is
          terminated from the Enterprise due to any reason, the
          dues shall be realised from the arrears, if any, which
          is payable to such worker or employee from the
          Enterprise.       

13.  Welfare Trust:

     (1)  A welfare Trust has to be created by the Enterprise
          pursuant to Section 37 of this Act, for the interests
          and the welfare activities of the workers or
          employees.

     (2)  Seventy percent of the amount remained after
          distribution of the bonus allocated pursuant to
          Section 5 of the Bonus Act, 2030 (1974) shall have to
          be deposited in the Trust created under Sub-rule (1)
          as above (3), the amount to be remained in the Trust
          created pursuant to Sub-rule (1) shall be deposited by
          opening an account in any commercial bank.

     (3)  The Welfare Trust shall be operated under the direct
          control and guidance of the Committee related to
          Labour. The account of the Trust shall be operated by
          the joint signature of two members designated by the
          Committee relating to Labour.

     (4)  The Welfare Trust, under the direct control and
          guidance of the Committee relating to Labour, shall be
          operated as designated by the Committee. The account
          of the Welfare Trust shall be operated by the
          signature of two members of committee relation to
          Labour as designated by it.

14.  Use of Welfare Trust:

     (1)  The committee relating to Labour may spend the amount
          deposited in Welfare Trust for the interests and
          Welfare of the worker or employee in the following
          activities :-

          (a)  In case it is required to provide immediate
               financial assistance on account of being sickness
               or falling in accident to worker or employee or
               any members of their family,

          (b)  For making necessary arrangement for providing
               education to worker or employee or their family,

          (c)  For making arrangement for sport, entertainment,
               library, club etc. for worker or employee,

          (d)  For lending on reasonable rate in case of
               extraordinary situation to worker or employee,

          (e)  For spending on relief activities to worker or
               employee in case of emergency situation like
               natural calamities,

          (f)  For spending on other Welfare activities leading
               to the collective interests of worker or
               employee.

     (2)  Notwithstanding anything mentioned in Sub-rule (1),
          the Enterprise, having partial or full ownership of
          His Majesty's Government shall have to take prior
          approval of the Department of Labour while spending
          from the Welfare Trust in the Welfare activities
          leading to collective welfare of worker or employee,
          by making an action plan thereof.

     (3)  The worker or employee are not entitled to spend or
          distribute among themselves the amount deposit in the
          Welfare Trust for the purposes other than mentioned in
          Sub-rule (1).

15.  Compensation against injury:

     (1)  In case any worker or employee is injured while doing
          a work designated by Enterprise, the whole amount
          incurred on his treatment, shall be provided by the
          Proprietor, as compensation, to such worker or
          employee on recommendation of the Doctor recognised by
          His Majesty's Government.

     (2)  In case a worker or employee after being injured in
          course of doing a work designated by the Enterprise is
          unable to work and is required to undergo treatment
          staying on home or Hospital the Proprietor shall have
          to provide also the full remuneration in case of
          treatment in Hospital, half remuneration in case of
          treatment undergone in home for that period, in
          addition to the compensation to be provided pursuant
          to Sub-rule (1).

          Provided that the Proprietor need not provide any
          remuneration for the period more than one year in case
          the treatment has to be undergone for than one period.

16.  Compensation in case of grievous hurt resulting in physical
     disability:

     (1)  In case any worker or employee is grievously hurt
          leading to physical disability while doing the works
          designated by the Enterprise, then such worker or
          employee shall be paid by the Proprietor a lump sum
          equivalent to his five years remuneration at the rate
          of his current remuneration, if the disability of the
          worker or employee is of 100 percent, which being
          determined on the basis of percentage of disability as
          mentioned in the Schedule.

     (2)   While giving compensation for the injury leading to
          the disablement, by the Proprietor to the concerned
          worker or employee pursuant to this rule, the
          compensation amount payable equivalent to the
          percentage of the disablement as mentioned in Schedule
          assuming five years of remuneration amount for the 100
          percent disablement.

17.  Compensation in case of death:

     If any worker or employee dies immediately or during
     treatment as a result of an accident while doing the works
     designated by the Enterprise, compensation equivalent to
     three years remuneration of the deceased shall be provided
     by the Proprietor, in lumpsum to the nearest heir of the
     deceased worker or employee.

18.  Determination of the percentage of disablement:

     In case any worker or employee is injured leading to
     physical disablement as a result of an accident while
     working in Enterprise, the Factory Inspector after getting
     determined the percentage of disablement of such worker or
     employee as mentioned in schedule from the Doctor
     recognised by His Majesty's Government shall get the
     compensation paid to such worker or employee by Proprietor
     pursuant to rule 16.

     Provided that the determination of percentage of
     disablement of worker or employee shall not be more than
     100 percent.

19.  Circumstances not receiving compensation:

     In case a worker or employee dies or injured leading to
     physical disablement, due to natural calamities while
     working the designated by the Enterprise, the heir of such
     worker or employee shall not be entitled to compensation
     pursuant to this regulation.

20.  Double compensation shall not be received:

     In case any Enterprise has cone any sorts of insurance of
     its workers or employees, then such worker or employee
     shall get only either the compensation amount pursuant to
     this regulation or the compensation amount of insurance,
     whichever is greater.

21.  May be terminated from service awarding compensation and
     gratuity:

     In case any worker or employee gets injured as a result of
     an accident while working in the Enterprise and does not
     get recovered even after treatment upto one year or
     certified by the Doctor recognised by His Majesty's
     Government that he is unable to work due to disablement
     caused by accident, then such worker or employee may be
     terminated from service by Proprietor by providing
     compensation pursuant to rule 16, in addition to the
     gratuity under rule.

22.  Priority to be given for occupation:

     The members of the dependants of family of the worker or
     employee, who is terminated from service of Enterprise
     pursuant to rule 21 or has died as a result of accident
     while working in Enterprise, shall be given priority for
     job according to their qualification in case a post has
     fallen vacant.

23.  Gratuity:

     (1)  Any permanent employee who has served for three or
          more years and retires from service due to age bar
          tendering resignation or is relieved from service from
          the Enterprise due to any reasons, such worker or
          employee shall be given lump sum gratuity at the
          following rate :-

          (a)  An amount equivalent to 1/2 of the current
               monthly remuneration for every year of service
               rendered for the service of first seven years,

          (b)  An amount equivalent to 2/3 of the current
               monthly remuneration which he was receiving last
               for every year of service rendered to a worker or
               employee who has served seven to fifteen years,

          (c)  An amount equivalent to a one month's
               remuneration which he was receiving last for
               every year of service rendered to a worker or
               employee who has served for more than fifteen
               years.

     (2)  The gratuity to be provided to worker or employee of
          Factory or Enterprise pursuant to Factory and Factory
          Workers rules, 2019, for the period before the
          commencement of this Regulation shall be as per those
          Regulations.

     (3)  Notwithstanding anything mentioned in Sub-rule (1)
          above, any worker or employee who has been terminated
          from service pursuant to Sub-section (4) of Section 52
          or Section 54 of Act, shall not be entitled to receive
          gratuity under this Rule.

24.  Gratuity Fund:

     (1)  Every Enterprise shall have to establish a separate
          Fund for the purpose of depositing gratuity amount to
          be received by worker or employee pursuant to the Rule
          23.

     (2)  The Enterprise shall have to maintain separate account
          showing clearly the amounts to be received by every
          worker or employee.

     (3)  The Enterprise shall have to deposit also the gratuity
          amount to be given to pursuant Sub-rule (2) of rule 23
          in the Gratuity Fund establishment as per Sub-rule
          (1).

25.  Choice of gratuity or compensation:

     Any worker or employee who is retrenched pursuant to
     Section 12 of the Act shall be entitled to choose between
     the compensation under the same section and the gratuity
     payable under Rule 23.

26.  Provident Fund:

     (1)  Every Enterprise, after deducting ten percent of the
          monthly remuneration of permanent worker or employee,
          shall add on equivalent amount and deposit in their
          name in the Provident Fund establishment pursuant to
          Sub-rule (2).

     (2)  The Proprietor of the Enterprise shall have to
          establish a separate Provident Fund in his Enterprise
          for depositing the amount pursuant to Sub-rule (1).

          Provided that the Enterprise may deposit such amount
          opening separate accounts in the name of its workers
          or employees in the Employee Provident Fund  Act,
          2019.

     (3)  In case a separate Provident Fund is established by
          Enterprise pursuant to Sub-rule (2), it shall have to
          maintain separate accounts of every worker or
          employee.

     (4)  The Provident Fund established pursuant to Sub-rule
          (2) shall be operated by the committee relating to
          Labour, in case there is no such committee it shall be
          operated by the committee comprising of
          representatives of the Proprietor, workers and
          employees. Wherever Welfare Officer exists, he shall
          serve as a member secretary of that committee.

     (5)  No worker or employee shall be allowed to withdraw
          completely his amount deposited in the Fund pursuant
          to Sub-rule (2) before his retirement from the service
          of the Enterprise.

     (6)  In case any worker or employee dies prior to having
          withdrawn his amount from the Fund, his nominees shall
          receive that money or if nominee has also died or no
          member has been nominated, the nearest heir such
          worker or employee shall receive that money. If there
          are more than one such heir, they shall be paid the
          amount so deposited on pro rate basis.

     (7)  The concerned worker or employee may take loan upto
          fifty percent as per the Bylaws of the Enterprise from
          the amount deposited in Provident Fund pursuant to
          this Regulation. The loan amount shall have to be
          recovered by deducting one forth of monthly
          remuneration of such worker or employee until such
          loan amount is fully recovered.

27.  Medical Expenses:

     (1)  The Proprietor shall have to arrange for equipments
          and medicines for the immediate treatment of worker or
          employee in case injured while working in the
          Enterprise.

     (2)  In case any worker or employee is injured while
          working in any Enterprise where more than fifty
          workers or employees work at a time, the Proprietor
          shall have to arrange a person having general
          knowledge thereof, for the immediate treatment.  

     (3)  The Proprietor shall have to arrange a Medical
          Treatment Center including the medicines and
          equipments of first aid in the responsibility of a
          trained or experienced Health Assistant, in the
          Enterprise where four hundreds and more than four
          hundreds workers or employees work.

     (4)  The Proprietor shall have to arrange a Health Center,
          including a doctor and Health Assistant along with
          necessary medicines and equipments of first aid in the
          Enterprise where one thousand and more than one
          thousand workers or employees work.

28.  Leave:

     (a)  Public Holiday

     (b)  Home Leave

     (c)  Sick Leave

     (d)  Obsequies Leave

     (e)  Special Leave

     (f)  Maternity Leave

29.  Public Holiday:

     (1)  The worker or employee shall be entitled to public
          holidays with full pay for 13 days in every year.

     (2)  The committee relating to Labour, after deciding the
          public holidays in the beginning of the every year, to
          be received by worker or employee pursuant to Sub-rule
          (1), shall inform immediately thereof to the worker or
          employee.

     (3)  In the Enterprise where Committee relating to Labour
          does not exist, it shall be decided through mutual
          consent between the representative of workers and
          employees and the Proprietor.

30.  Home Leave:

     (1)  Every worker or employee shall be entitled to paid
          home leave at the rate of one day for every twenty
          days that he works. The worker or employee shall have
          to take prior approval while going on such leave.

     (2)  The home leave to be enjoyed pursuant to Sub-rule (1)
          may be accumulated for a maximum period of sixty days.

     (3)  For the purpose of calculation home leave to be
          enjoyed as per this Rule, work days shall mean and
          include weekly holidays, public holidays and other
          paid holidays.

     (4)  In case any employee resigns from his post or retires
          from service for any other reason, he shall be
          entitled to receive lumpsum amount for his accumulated
          home leave at the rate of the wage which he was
          getting at the time of his severance from service.

31.  Sick Leave:

     (1)  The workers or employees served continuously for one
          year in the Enterprise, shall be entitled to sick
          leave with half pay for upto 15 days in one year.

     (2)  The Proprietor shall require to submit a certificate
          from the Doctor recognised by His Majesty's
          Government, while approving the sick leave of any
          worker or employee for more than three days.

     (3)  In case any worker or employee has fallen sick, he has
          to provide the notice thereof to the Proprietor by the
          fastest means available.

32.  Obsequies:

     (1)  In case any worker or employee who has completed one
          year of continuous service in the Enterprise is
          required to observe obsequies personally in according
          to his family custom he shall be entitled to obsequies
          leave for a maximum period of 13 days.

     (2)  Any employee who is on such obsequies leave pursuant
          to Sub-rule (2) shall get full salary.

33.  Special Leave:

     (1)  Any permanent worker or employee who does not have any
          leave accumulated may be entitled to special leave for
          a period of 30 days in one year, with the prior
          approval in a special situation for going on leave has
          occurred.

     (2)  The worker or employee staying on leave pursuant to
          Sub-rule (1) shall not be entitled to salary of such
          period.

     (3)  The total period of special leave to be enjoyed
          pursuant to this Rule shall not exceed for than 6
          months in the entire period of service of worker or
          employee.

34.  Maternity Leave:

     A pregnant female employee shall be entitled to maternity
     leave with full pay for period 52 days for pre and post
     delivery. Such maternity leave shall be granted only twice
     during the entire period of service.

     Provided that such maternity leave shall be granted twice
     as per this Rule for giving the birth to two children, in
     case the both children of the pregnant female worker or
     employee, who has already enjoyed twice the maternity
     leave, have expired.  

35.  Authority empowered to sanction leave:

     The Proprietor or the authority prescribed in the Bylaws of
     the Enterprise shall be authorised to sanction leave
     mentioned in this chapter.

36.  Leave not a matter of right:

     Leave is not matter of right, is only a privilege. The
     authority authorized to sanction leave may, in keeping in
     view the work of the Enterprise, refuse to sanction leave,
     postpone utilization thereof, may deduction or cancel any
     sanctioned leave.

37.  Action against worker or employee absenting themselves
     without leave:

     (1)  No worker or employee shall absent himself from the
          factory without obtaining leave.

     (2)  In case any employee absents himself for more than
          thirty days without giving information of staying on
          leave or without obtaining leave, he may be removed
          from service in addition to the deduction of his
          salary for the number of days he so remains absent.

     (3)  Notwithstanding anything mentioned in Sub-rule (1) and
          (2) above, in case due to emergency condition, any
          employee remains absent without prior sanction of
          leave, later on if his leaved is sanctioned
          retrospectively, in such case the provisions of this
          Rule shall not be deemed to have been contravened.

CHAPTER - 4:  Provisions relating to Health, Cleanliness and Safety

38.  Provisions for safety against fire:

     The Proprietor shall have to arrange the following measures
     in the Enterprise for protection from fire :-

     (a)  Fire extinguishing devices shall to be placed in the
          proper place, as necessiated, for the protection from
          fire.

     (b)  The hotch pipe, in addition to the Hydrant shall have
          to be arranged in a way of reaching sufficient
          pressurised water in the factory, as necessiated.

     (c)  Arrangements of emergency exit shall be made for
          moving in the situation of fire and no object shall be
          placed in a way of obstructing that exit.

     (d)  The fire alarm or any sound signalling device shall
          have to be arranged for making alert to everybody in
          case of fire.

     (e)  The devices to be used in fire extinguishing shall
          have to be inspected and tested at least once in a
          year and the record has to be maintained thereof.

     (f)  Enterprise using explosives like gun powder,
          nitroglycerine, dynamite, gun cotton, blasting powder,
          mercury or other metal fulutade, fog signal fuse,
          rocket, percussion cap, detonator, cartridge or such
          other explosive specified by His Majesty's Government
          by a notification published in the Nepal Gazette,
          shall have to store them safely far from dense
          population and the skilled persons having special
          knowledge shall have to be deployed while moving and
          using such objects.

39.  Limitation of load carrying:

     (1)  The worker shall not be allowed to lift or move or
          carry load exceeding the following limit :-

          (a)  Adult male                             -  55 Kg

          (b)  Adult female                           -  45 Kg

          (c)  Minor male (16-18 years)               -  25 Kg

          (d)  Minor female (16-18 years)             -  20 Kg

          (e)  Minor male and female (14-16 years)    -  15 Kg

     (2)  Notwithstanding anything mentioned in clause (a) of
          Sub-rule (1), the above limitation of weight with
          respect to lifting, moving or carrying the packed load
          by any adult male worker shall not be applicable.

40.  Testing of Pressure Plant:

     (1)  While testing any pressure plant pursuant to Section
          33 of the Act, the testing shall be done keeping
          attention in the following matters :-

          (a)  Good assembling and sufficiently strong.

          (b)  Keeping in safe manner maintaining the pressure
               plant in proper way.

          (c)  Following equipments need to be installed in
               pressure plant;

     (1)  Safety valve or any other sort of equipment installed
          in a way not allowing to operate in the pressure
          exceeding than the pressure authorized by license.

     (2)  Proper pressure gaze need to be installed for reading
          the pressure operated in the pressure vessel.

     (3)  Fixed operating pressure shall have to be indicated by
          red colour in the pressure gaze.

     (4)  Drain cock of valve equipment shall have to be
          installed in lower part of pressure vessel for
          draining the liquid remained in it.

     (5)  The water level indicator of pressure vessel shall
          have to be installed properly.

     (6)  There shall be appropriate stam valves for separating
          pressure vessel systems with other vessels or any
          sources creating pressure, at any time.

     (7)  The safety valve and pressure gazes shall have to be
          installed compulsorily in all ceasing cylinders,
          digesters, steam jacket pans and in vessels to be used
          in other pressure.

     (8)  In addition to the arrangements mentioned as above,
          any other proper devices shall have to be installed
          according to the nature of pressure plant.

41.  License of Pressure Plant to be provided:

     The Factory Inspector, after testing the pressure plant and
     on the basis of capacity and condition of the equipments
     installed on it shall have to issue license not exceeding
     for one financial year specifying the working pressure.
     While renewing the license issued in such manner, it shall
     not be provided without re-testing it.

42.  Particulars to be mentioned in license:

     (1)  Following matters shall have to be mentioned in the
          pressure plant :-

          (a)  Name and address of Enterprise,

          (b)  Trade mark, model number and production date,

          (c)  Type of the pressure vessel and the fuel to be
               used in its operation,

          (d)  Condition of equipments installed in pressure
               vessel,

          (e)  Date of issuance and period of license,

          (f)  Hydraulic tested paper,

          (g)  Condition of fusible plug,

          (h)  Any other necessary matters.

     (2)  The copy of the license issued by Factory Inspector
          pursuant to Sub-rule (1) shall have to be send to the
          concerned Labour office and Department of Labour.

     (3)  The pressure plant shall have to be operated by the
          trained and experienced person.

     (4)  The Enterprise shall not to operate Boiler,
          Pressurised vessel or any other devices to be operated
          in pressure more than atmospheric pressure without
          receiving license from the Factory Inspector.

     (5)  In case there is doubt of not functioning of device
          while operating it within the period of its license
          provided for operation, a notice shall have to be
          provided immediately to the concerned Factory
          Inspector.

43.  Use of machinery, tools or equipment:

     (1)  While using the machinery, tools or equipment pursuant
          to Sub-section (2) of section 36 of the Act, it shall
          be done in the following manner :-  

          (a)  The hydraulic press and other press to be
               operated by other devices, milling machines to be
               used in metal industry, Ligotine machine,
               circular sleton printing machine etc. shall have
               to be operated by trained and experienced person.

          (b)  Arrangement of proper fencing shall have to be
               made for security, near by wheel, belt, belt
               operating instrument, gear, drum, cultch, driving
               belt or power generator for operating machine and
               any other dangerous means for operating energy.

          (c)  While doing gas welding or arch welding or any
               other such works, it shall be done in separate
               place in a way not affecting general public.

          (d)  The equipments and tools to be used in repair and
               maintenance should be in good condition.

          (e)  The electricity transmission line used for
               operating instruments should be in good
               condition.

          (f)  The separate parking or safe place for storing
               goods shall have to be arranged in a way not
               affecting general public, while operating
               workshop. 

     (2)  No minor, who has not attained the age of 16 years
          shall be engaged in the works leading to adverse
          effects in health or in dangerous machines or in
          machines as mentioned in clause (a) of Sub-rule (1).

44.  Investigation of accident or profession disease:

     (1)  After getting information of accident or professional
          disease pursuant to Section 35 of the Act, and in case
          it is required to investigate and make inquiry to that
          respect, the Labour office may designate an Inquiry
          officer.

     (2)  The powers, functions of the Inquiry officer
          designated pursuant to Sub-rule (1) shall be as
          follows :-

          (a)  To collect necessary information concerned with
               spot or from concerned person, to collect
               necessary information, to cause to produce the
               necessary documents, to take statements etc.

          (b)  After making an inquiry pursuant to clause (a),
               a report shall have to be submitted before the
               Labour office within the time specified by Labour
               office.

     (3)  In case it is seen to affect the health of the worker
          or employee by the use of any material necessary for
          the production process of the Enterprise, it may be
          tested by the officer designated by the Labour office
          after collecting its sample and properly packed it in
          bottle. His Majesty's Government may issue necessary
          directives to the Proprietor, if it is proved to be of
          injurious to health.

CHAPTER - 5:  Provision relating to Committee and Authority

45.  Formation of Central Labour Advisory Committee:

     (1)  The Central Labour Advisory Committee to be
          constituted pursuant to Section 62 of the Act shall
          consist of Chairman and Members as follows :

          
          
          (a)  Minister or State
               Minister for Labour

          (b)  Secretary, Ministry
               of Labour

          (c)  Secretary, Ministry
               of Tourism

          (d)  Secretary, Ministry
               of Works and
               Transport

Chairman

Member

Member

Member
                                                     
          (e)  Secretary, Ministry
               of Agriculture

          (f)  Secretary, Ministry
               of Industry

          (g)  Two Labour Expert
               nominated by His
               Majesty's Government

          (h)  Three
               representatives from
               Federation of Nepal
               Chamber of Commerce
               and Industry

          (i)  Three
               Representatives from
               Federation of Trade
               Unions

          (j)  Director General,
               Department of Labour
Member

Member

Member

Member

Member

Member
Secretary
     
     (2)  The tenure of the members nominated pursuant to clause
          (g) of Sub-rule (1) shall be of two years.

     (3)  In case it is required, His Majesty's government may
          change or alter in the member of the Central Labour
          Advisory Committee, by a notification published in
          Nepal Gazette.

     (4)  Central Labour Advisory Committee may invite any
          Nepali or foreign expert as necessiated, in its
          meeting as an observer.

46.  Powers, Functions and Duties of Central Labour Advisory
     Committee:

     The powers, functions and duties of Central Labour Advisory
     Committee shall be as follows :-

     (a)  To render advice to His Majesty's Government in the
          matters relating to labour Policy.

     (b)  To provide necessary advice to His Majesty's
          Government in the matters timely amendment in Labour
          laws.

     (c)  To provide necessary advice to His Majesty's
          Government in the matters relating to the construction
          of quarters for workers or employees.

     (d)  To render advice to His Majesty's Government in the
          matters of formulation of policy relating to
          apprentice training.

     (e)  To render necessary advice to His Majesty's Government
          in the matters of operating the basic professional
          training.

     (f)  To render necessary advice to His Majesty's Government
          in the matters of increasing the opportunities of job.

     (g)  To render necessary advice to His Majesty's Government
          in the matters of doing industrial development, by
          promoting the mutual relationship between His
          Majesty's Government, Proprietor and workers and
          employees.

     (h)  To render necessary advice to His Majesty's Government
          in the matters of doing industrial development by
          maintaining industrial peace.

47.  Composition of committee relating to Labour:

     (1)  A Committee relating to Labour, having equal
          representation of Proprietors and workers, shall be
          constituted in each Enterprise.

     (2)  The Committee relating to Labour to be constituted
          pursuant to Sub-rule (1) shall consists of members in
          minimum of 4 and maximum upto 20, on the basis of the
          total numbers of workers in the Enterprise.

     (3)  The nomination process of the representatives
          representing on behalf of the workers and employees in
          the committee relating to labour shall be as mentioned
          in Rule 48 and 49.

     (4)  After a Committee relating to Labour is formed under
          this Rule, the Proprietor shall provide a notice
          thereof immediately to the Labour office.

48.  Nomination of Representative of Proprietor:

     An employee related directly to the managerial functions of
     the Enterprise shall be nominated as far as possible, while
     nomination representative on behalf of the Proprietor in
     the Committee relating to Labour.

49.  Nomination of representative of worker:

     (1)  While nomination representative on behalf of workers
          in the Committee relating to Labour, it shall be
          nominated by Trade Union in case there exists a Trade
          Union in the Enterprise level and in case there is not
          such union, the workers shall have to nominate their
          representatives.

     (2)  While nomination representatives of workers in the
          Committee relating to Labour pursuant to Sub-rule (1),
          it shall be done in a way of having equal
          representation of all sorts of workers.

50.  Members and Authorities of the Committee relating to
     Labour:

     (1)  A Nepali worker or employee, who have attained the age
          of 18 years and have completed one year of continuous
          service in Enterprise shall be eligible for getting
          nominated in the Committee relating to Labour.

     (2)  There shall be a President, Vice-president, Secretary,
          Joint Secretary and Treasure in the Committee relating
          to Labour.

     (3)  The Proprietor shall nominate a member as a President
          among the members of the Committee relating to Labour.

     (4)  The Committee shall select Vice-president and
          Secretary out of the workers representatives and Joint
          Secretary and Treasure out of the Proprietor's
          representatives.

     (5)  The tenure of members and authorities of the Committee
          relating to Labour shall be of two years.  

51.  Meeting of the Committee relating to Labour:

    (1)   The Secretary shall convene the meeting of the
          Committee relating to Labour as specified by the
          President.

          Provided that such meeting shall to be convened at
          least once in three months.

     (2)  The Proprietor shall have to arrange for the meeting
          to be held pursuant to Sub-rule (1).

     (3)  The Secretary shall record the decisions of the
          meeting and get it certified by the President.

     (4)  All the procedures relating to the meeting of
          Committee relating to Labour shall be as prescribed by
          it.

52.  Functions and Duties of the Committee relating to Labour:

     The functions and duties of the Committee relating to
     Labour shall be as follows :-

     (a)  To be active to maintain the quality by promoting and
          reforming in production and service of the Enterprise.

     (b)  To perform the functions relating to operation of the
          Welfare Trust.

     (c)  To perform the functions relating to operation of
          Provident Fund.

     (d)  To perform the functions relating to quarters of
          workers and employees.

53.  Powers, Functions and Duties of the Labour officer:

     The Labour officer shall have following powers, functions
     and duties, in addition to the powers as mentioned in
     Section 65 of the Act :-

     +%*   e role of mediator in settling the
dispute raised between worker, employee and Proprietor.

     (b)  To cause to solve the dispute by having mutual
          negotiation in relation to personal claim or complaint
          of worker or employee and in case not solved in this
          way to take necessary decision.

     (c)  To take oral and written statements of worker or
          employee of any Enterprise within the Enterprise in 
          the Labour office in course of proceedings done by
          Labour office.

     (d)  To motivate workers to be dedicated towards their work
          and create the necessary environment for that.

     (e)  To play active role in maintaining healthy and
          balanced relation by providing advice and suggestions
          to Proprietor in the formulation of necessary policy
          with regard to development and extending of the
          Enterprise and change in functions, duties of the
          workers.

     (f)  To make understood the workers in simple language 
          about the problems to be faced in Enterprise and in
          matters of security of their rights and interests.

     (g)  To play active role in the decision making process by
          having mutual discussion and dialogue between
          Proprietor and workers representatives in course of
          bringing the reform in the production process and
          adopting any other working process in the Enterprise.

     (h)  to make arrangement through the process of mutual
          dialogue and discussion for stopping the uncordial
          atmosphere between the workers and Proprietor.

     (i)  To prevent workers from going into illegal strikes or
          not allowing to bring disturbances in the activities
          of the Enterprise or to be active in stopping
          unauthoratative dealing between Proprietor and
          workers.

     (j)  To attempt bring in normal condition by adopting
          healthy and neutral attitude in an amicable and
          cordial atmosphere even if any dispute is raised
          between Proprietor and worker.

     (k)  To manage to examine the health of the workers by
          consulting the Local office and a qualified doctor for
          the protection and the facility of the workers and
          maintain record thereof, to protect the workers
          against dangerous works, inspect machineries, clean
          the Factory and make other timely provisions regarding
          health and safety.

     (l)  To render necessary advice and suggestions also to
          Proprietor in the matters of providing wage, leave and
          other facilities to workers.

     (m)  To cause to implement the welfare provisions as
          mentioned in the Act.

     (n)  To make arrangement for the entertainment and sports
          also for the physical and mental fitness of the
          workers.

     (o)  To make necessary arrangement by encouraging
          Proprietor alongwith workers for constituting the
          Committee relating to Labour, Production Committee,
          Welfare Committee, Security Committee and any other
          Committee to be helpful in the operating of the
          Enterprise.

     (p)  To make necessary action after receiving technical or
          administrative report in course of implementing the
          Act in the Enterprise.

59.  Other function, Duties and Powers of the Factory Inspector:

     In addition to the powers mentioned in the Section 67 of
     the Act, the Factory Inspector shall have other functions,
     duties and powers as follows :-

     (a)  To enter any Enterprise or Factory within the
          jurisdiction of the Labour office and inspect and
          examine the building, land, plant, machine, used raw
          materials, finished and semi-finished goods and
          arrangements relating to health and safety and to
          issue to Proprietor, in case it is required to correct
          in that respect.

     (b)  To issue order to make immediate necessary arrangement
          in the place seen dangerous from the safety and health
          point of view in any Enterprise or Factory.

     (c)  To examine the Boiler, Pressure vessel and other
          dangerous equipments fatal to body once in a year and
          to give permission to operate these things in case
          they are found good for operating. 

     (d)  To render necessary advice in relation to possible
          measures in enhancing the productivity of Enterprise
          or Factory.

     (e)  To examines the documents like attendance register of
          workers and employees working in the Enterprise or
          Factory, salary, allowance, particulars in relation to
          overtime payment to worker or employee.

     (f)  To take oral or written statements of any worker or
          employee of Enterprise or Factory in relation to
          health and safety arrangements of that Enterprise or
          Factory.

     (g)  To make inquiry of any accident happened in the
          Enterprise.

     (h)  To initiate action for compensation in case any worker
          or employee is injured leading to physical disablement
          while performing the works of Enterprise or Factory.

55.  Functions, Duties and Powers of the Welfare Officer:

     The functions, duties and powers of the Welfare officer
     shall be as follows :-

     (a)  To maintain good contact and relation between both the
          Proprietor and worker, by maintaining cordial relation
          between them.

     (b)  In case the workers are faced either with individual
          or collective problem, to solve such problem by
          informing the Proprietor in time.

     (c)  To motivate and render advice and suggestion for
          enhancing the activities of the Trade Union in the
          matters leading to professional interests of the
          workers.

CHAPTER - 6:  Miscellaneous

56.  Information to be provided for the establishment and
     extension of the Enterprise:

     (1)  In case it is required to extend any Enterprise or to
          establish a new Enterprise, the Proprietor of that
          Enterprise, prior to doing such activity, shall inform
          the concerned Labour office alongwith the particular
          related to the following subjects :-

          (a)  Particulars relating to area, category and
               boundary of the land.

          (b)  Length, breadth and height of the building of the
               Enterprise and other houses to be built in
               Enterprise.

          (c)  Pertaining to the details of the said building
               as, which portion to contain what category of
               goods in what quantities and type of machinery
               and equipment to be installed for production work
               and manufacture.

          (d)  Proper arrangement of ventilation of air
               alongwith light in all rooms of the building.

          (e)  In case there is situation of emission of gases
               through production process, the provision for
               outlet of such gas.

          (f)  Appropriate arrangement of toilet.

          (g)  Arrangement of drinking water.

          (h)  In case adequate supply of water is required, the
               arrangement made in that required.

          (i)  Distance between the nearest habitation and the
               Enterprise and the particulars of the measures to
               be adopted in protecting the neighbouring habitat
               from the environmental hazards.

          (j)  Nature and volume of power required for the
               production process.

          (k)  Name and quantity of raw material and subsidiary
               raw materials required for the production
               process.

          (l)  Name and quantity of the goods to be produced.

          (m)  Arrangements for the protection from fire of the
               complex of the Enterprise and the goods produced
               from it.

          (n)  While making necessary examination upon the
               particulars to be received to Labour office
               pursuant to Sub-rule (1), in case it is seen to
               have adverse impact from the standpoint of
               health, safety and environment, the Factory
               Inspector may issue order to Proprietor directing
               him to amend or alter as necessiated upon the
               particulars provided to it. It shall be duty of
               the concerned Proprietor to abide by such
               directives.

57.  Information to be provided by the Proprietor:

     (1)  While using any new building or land for the
          Enterprise, the Proprietor shall have to provide
          written notice alongwith following particulars at
          least prior to fifteen days to the local Labour
          Office.

          (a)  Name and address of the Enterprise,

          (b)  Name and address of the Proprietor of the
               Enterprise,

          (c)  Address for correspondence with Enterprise,

          (d)  Name and address of the Manager of the
               Enterprise,

          (e)  Particulars of the workers engaged in the
               Enterprise,

     (2)  The Proprietor shall have to send the written notice
          alongwith the particulars mentioned in Sub-rule (1),
          to the local Labour office within thirty days after
          the commencement of this Regulation.

     (3)  In any Enterprise share the Manager has not been
          appointed or has not taken the responsibility of the
          management of the Enterprise even if appointed, in
          such situation the person officiating as Manager or if
          there is no such person also, the Proprietor himself
          shall be deemed to be the manage of that Enterprise
          for the purpose of this Regulation.

58.  Procedures of Labour Court:

     The Labour Court, while initiating and disposing cases
     shall follow the procedures of Short Procedures Act, 2028
     (1972).

59.  Repeal and Saving:

     (1)  The Nepal Factory Regulations, 2019 (1962) are
          repealed.

     (2)  The Regulation relating to Labour made to apply for a
          particular Enterprise shall prevail over the matters
          written in that Regulation and this Regulation shall
          prevail over the rest of the matters.

     (3)  Any activities performed pursuant to The Nepal Factory
          Regulations, 2019 shall be deemed to have been
          performed as per this Regulation.

SCHEDULE:  Specifying the degree of Disablement

S.N. Particulars of the Injury       Disablement in percentage

01   Loss of two limbs                                     100

02   Loss of two hands or loss of all fingers alongwith 
     palm                                                  100

03   In case of loss of total sight                        100

04   Total paralysis                                       100

05   In case of permanent sickness as a result of injury   100

06   In case of loss of other eye of one eyed person       100

07   In case of loss of other arm of one armed person      100

08   In case of loss of other foot of one footed person    100

09   In case of loss of one foot and one arm               100

10   In case of total and permanent disablement because of 
     any other injury                                      100

11   In case of total deaf                                 100

              Condition of amputation of one Arm

12.  Amputation of Shoulder joint                           80

13.  In case the arm is amputed from the middle of Shoulder
     and elbow                                              70

14.  In case of loss of arm from the elbow                  70

15.  In case of loss of arm from the middle of the elbow
     and wrist                                              70

16.  In case of loss of hand from wrist                     60

17.  In case of loss of four fingers and alongwith thumb of
     one hand                                               60

18.  In case of loss of four fingers except thumb of one
     hand                                                   60

19.  In case of loss of two flanks of the thumb             30

20.  In case of loss of one flank of the thumb              20

21.  In case of loss of three flanks of the pointing
     finger                                                 14

22.  In case of loss of two flanks of the pointing finger   11

23.  In case of loss of one flank of the pointing finger     9

24.  In case of loss of three flanks of the middle finger   12

25.  In case of loss of two flanks of the middle finger      7

26.  In case of loss of one flank of the middle finger       7

27.  In case of loss of three flanks of fourth and fifth
     fingers                                                 7

28.  In case of loss of two flanks of fourth and fifth
     fingers                                                 6

29.  In case of loss of one flank in both the fourth and
     fifth fingers                                           5

30.  In case of additional loss in first or second meta
     carpal                                                  5

31.  In case of additional loss in third, fourth and fifth
     meta carpal                                             4

    Condition of amputation of any one or of both the legs

32.  In case both the thigh are amputed from the middle or
     in the leg is amputed from the middle of one thigh
     leading to the loss of leg of other side or the organ
     is amputed below from both the knees                  100

33.  In case the legs are amputed 5 inch below from both
     the knees                                             100

34.  In case the leg is amputed 5 inch below from one knee
     leading to the loss of another knee                   100

35.  In case there are only stump knees and are bearing
     only after both the feet are amputed                  100

36.  In case there is amputation from upper joint of
     metatarsophelongial joint of both the feet             90

37.  In case there is loss in all the fingers below
     metatarsophelongial joint of both the feet             80

38.  In case there is loss upon all fingers of both the
     feet from the proximal of interphelongial joint        40

39.  In case there is only loss in lower part from proximal
     interphelongial joint of all the fingers of both the
     feet                                                   20

40.  In case there is amputation from middle of hip joint   90

41.  In case there is amputation down wards to hip joint
     but if the stump of remaining leg is less than 5 inch
     from troancter joint                                   80

42.  In case the leg is amputed not reaching below the
     middle of the thigh in a way that there is stump below
     the hip joint which is 5 inch more than the troancter
     joint                                                  70

43.  In case there is amputation in below from middle of
     the thigh upto knee in a way not being more than 3.5
     inch                                                   60

44.  In case there is amputation in leg below the knee and
     stump below the knee is in between 3.5 inch to 5
     inch                                                   50

45.  In case there is amputation in leg below the knee and
     the stump is 5 inch long below from the knee           50

46.  In case there is stump for aid bearing after total
     amputation in one leg                                  40

47.  In case there is amputation in one leg only from
     proximal metatarsophelongial joint                     40

48.  In case all the fingers of one leg are amputed from
     proximal metatarsophelongial joint or amputed from
     middle of metatarsophelongial joint                    20

49.  In case of loss of both the flanks of the toes of the
     feet                                                   10

50.  In case of loss of one flank of one toe of feet         3

51.  In case of loss of some portion of toe including its
     bone                                                    3

52.  In case of loss of fingers other than toe         3(each)

53.  In case of loss of any portion of any finger of feet
     including bone other than toe                           1

                    Other special injuries

54.  In case of loss but not complicated, to another eye,
     when one eye was in normal condition                   40

55.  In case of loss in sight or loss in retina of other
     eye when one eye's sight is in normal condition        30

56.  In case of loss of hearing power of one ear            20

 Total recovery to be created in limbs and joints after injury

57.  Spine                                                  30

58.  Shoulder joint                                         40

59.  Elbow                                                  40

60.  Wrist                                                  30

61.  Proximal and distal radio ulnar joint                  30

62.  Thumb (First Metacarpal flanks joint)                  30

63.  One joint of any one finger other than of thumb         3

64.  All the joint of any one finger other than thumb       10

65.  All the joint of all fingers including of thumb        40

66.  Hip joint                                              40

67.  knee                                                   19

68.  Ankle                                                  19

69.  Joint below tails bone                                 19

70.  toe (First Meta flanks joint)                          19

71.  Joints of other fingers of feet other than toe         10

  Paralysis of limbs or only of any part of body after injury

72.  Total paralysis as a result of injury in spinal chord 100

            Total paralysis of the following limbs

73.  Breakial Plexus                                        70

74.  Radial Nerve                                           50

75.  Median Nerve                                           40

76.  Ulnar Nerve                                            40

77.  Syatic Nerve                                           70

78.  Medial Paplitial Nerve                                 40

79.  Lateral paplitial Nerve                                30
        

The International Labour Organization is a United Nations specialized agency.

Updated by PAP/SUT/TRS. Approved by BKL. Last updated on 5 March 2001