Birgunj industrialists say new minimum wage is too high to pay

Birgunj, July 13

Industrialists in Birgunj city of Parsa district say the new minimum wage recently fixed by the government to implement from the beginning of new fiscal year next week is too high and they cannot pay it.

Few days after the Ministry of Labour, Employment and Social Security decided that a worker should be paid at least Rs 13,450 a month, the Birgunj Chamber of Commerce and Industry protested the decision, urging the government to correct it.

The Chamber has also accused the government of fixing the remuneration without conducting a detailed study and without holding proper consultations with stakeholders concerned including the industrialists.

It says the Federation of Nepalese Chambers of Commerce and Industry, whom the government claims to have consulted, does not represent all entrepreneurs in the country. Instead, some other big chambers should also have been asked for suggestions.

The industrialists have warned that the decision may obstruct the smooth functioning of factories, ultimately delaying the economic growth of the country.