Himal Media's roundtable discussion on the challenges and issues of migrant labour.
With formal remittances from the 3 million Nepali migrant workers across the globe reaching Rs 262 billion in 2010, it's no exaggeration to say foreign employment is the backbone of the Nepali economy. Himal media organised a roundtable discussion on migrant labour last week. Excerpts:

What is the current situation of Nepali migrant workers?

Purna Chandra Bhattarai (Joint Secretary, Ministry of Labour): Only about 2 per cent of those who go abroad to work are skilled manpower, 23 per cent are semi-skilled, and 75 per cent are unskilled labour. Though Nepalis are authorised to work in 108 countries, 95 per cent go to the Gulf and Malaysia, about 90 per cent of this through informal channels. About 400,000 youths enter the labour market every year. Formal and informal annual remittances, which make up about 30 per cent of the GDP, amount to more than the national budget.

Ganesh Gurung (member, National Planning Commission): We are in a post-conflict situation now, but until we address unemployment, we are not addressing one of the root causes of the conflict. Millions work abroad, but even the manpower recruitment sector employs about 350,000 people within Nepal.

Shengjie Li (Director, ILO Nepal): The Second National Labour Force Survey 2008 indicates about 21.1 per cent of households have at least one member living and working abroad. From 1993 to 2007, the volume of remittance increased by 30-fold, with a major impact on reducing poverty. In spite of contributions to family income and GDP, many migrant workers, especially women, face various problems, including abuse and trafficking. Another negative impact is the brain drain. And there is serious difficulty in reintegrating migrants into society when they come back. The skills they learn abroad have not been utilised for productive work.

Som Luitel (lawyer, Safe Migration Network): The foreign employment sector is fraught with fraud. Over 700 cases of fraud have been filed at the foreign employment department but there is no national policy to address the issues of migrant workers. The government has set up a foreign employment board to compensate returnees duped by recruiting agencies but it lacks a clear strategy. Recruiting agencies are organised, but migrant workers are not, and struggle every step along the way, from finding an agency to securing decent jobs abroad.

Shaktida Singh (UNIFEM): The issues of Nepali women migrant workers " there are 200,000 abroad â€" don't fall within the formal framework of migrant workers. There is no specific policy for them. They are at high risk as they mostly go through informal channels, rather than formal sectors such as industry and construction where insurance and other facilities are guaranteed. Most women work as domestic help, are undocumented, and aren't affiliated with labour unions. They contribute up to 15 per cent of total remittances, but there is no legal protection available for them.

Keshav Badal (legal advisor, GFONT): Migrant records are confusing. We keep records of those who go abroad but there is no record of returnees. We calculate the remittance they bring in but don't have any account of how much we have spent to go abroad. And we are also sending skilled people abroad, who rich countries have not invested in. It's time to raise the issue of a human resource development fund that rich countries contribute to in exchange for supplying them with skilled manpower.

Hansaraj Wagle (first vice chair, Nepal Association of Foreign Employment Agencies): The manpower agencies themselves have to look for international openings to send migrant workers. We don't have direct links with employers. Therefore, we have to go through middlemen, whose fee is taken from migrant workers. But we cannot show the details of such deals to the government, so migrant workers are being charged high fees by some agencies. Manpower agencies have to keep a Rs 5 million deposit on hand to compensate workers who have returned because they didn't get the jobs they were promised. But despite contributing so much remittance, manpower agencies are not recognised for their work. Instead they have to face the charge of cheating aspiring migrant workers.

What needs to be done to protect the rights of Nepali migrant workers, and to manage remittances productively?

Keshav Badal: Migrant workers have to cross a number of hurdles and are duped before they fly out. They should be informed about the jobs they are applying for, the salary and benefits, as well as the risks. As far as insurance is concerned, the government has granted manpower agencies a license to cheat. Migrant workers should only have to pay a lump sum rather than installments that amount to much more, and undocumented workers should also be included somehow.

Madan Mahat (former vice chair, Nepal Association of Foreign Employment Agencies): Government should facilitate travel and have labour attachés in destination countries, which could reduce the risk, particularly for women. We should develop an online system of all stakeholders through which we can access information on workers and monitor their situation.

Shaktida Singh: We cannot bar the movement of people. If they see better opportunities abroad we cannot stop them, but if women could earn Rs 5,000-6,000 here they would not leave. The social costs to families are high. Foreign employment should be made an option, not a forced choice.

Purna Chandra Bhattarai: We have decided to send women abroad only after the recommendation of the Nepali embassy. We have also raised the issue of establishing an embassy in Saudi Arabia. We have been lobbying for insurance and the implementation of the ILO convention on migrant workers. The government has been drafting foreign employment regulations and is reviewing migration policy, and is working on a scheme to utilise remittances better. We are also planning to decentralise the foreign employment board, and develop a database of job opportunities.

Shengjie Li: There should be a tripartite mechanism of the government, recruiting agencies, and workers' organisations to implement the ILO convention, which ensures safety of migrant workers. We have been helping in capacity building by training government officers, labour attachés, trade union representatives, and private recruiting agencies. The NAFEA code of conduct should be put in practice, and NAFEA should develop a grading system for recruiting agencies. The government should encourage workers to use legal channels to send remittances and develop an economic mechanism to utilise these funds.

Published on: 17-23 Dec 2010 | Nepali Times