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Minimum Salary Deal Hits Rough Weather, Again

ANTUF faction, small unions term it ‘Majdurmara’

Hopes of industrial peace being restored after the Central Labour Advisory Committee (CLAC) of the government, major trade unions and employers struck a deal on the pay hike of workers and other issues on Friday may be shortlived.

On Saturday, a faction of the Maoist trade union and other fringe unions slammed the agreement. At a time when labour militancy is becoming the main concern of investors, factional politics marring the industrial sector is likely to further keep investors at bay. On Friday, a CLAC meeting held in the presence of Prime Minister Baburam Bhattarai decided to implement the government- fixed minimum salary along with other agreements reached between major trade unions and employers on March 24. Although employers and trade unions had singed an 11-point agreement on March 24, including on the salary hike row, the then government was later forced to hike the salary further following protests from smaller trade unions. Under their pressure, the government fixed the minimum salary at Rs 6,200, although the agreed salary structure was Rs 6,100 earlier. Other major points of the agreement were prohibiting illegal strikes at work places at least for four years, not paying workers if they indulge in illegal strikes and a provision of social security with contribution of the government, employers and employees. The CLAC has decided to implement these measures too.

Five trade unions, including the major three—General Federation of Nepalese Trade Union (GEFONT), All Nepal Trade Union Federation (ANTUF) and Nepal Trade Union Congress— the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) from the employers’ side and the government form the CLAC. The faction of ANTUF, the Maoist trade union, along with other fringe unions, termed the agreement ‘Majdurmara’ or against the workers’ interests, given its provision of prohibiting ‘illegal’ strikes and the no-work no-pay system. “Even the strongest condemnation of this government’s act will be less,” a joint press statement released by them said. They have also threatened an agitation if the decision is not scrapped. “They chose an opportune moment—the Dashain festival— to take the decision against workers’ rights,” said Badri Bajgain, a central representative of a faction of the Maoist trade union. “We will launch an agitation after Dashain if the decision is not cancelled.” Other trade unions joining hands with the ANTUF faction are Nepal Inclusive Trade Union Federation, National Democratic Trade Union Federation, Nepal Independent Democratic Trade Union Federation, Inclusive Trade Union Federation, Madhesi Trade Union Forum, All Nepal Trade Union Federation (Revolutionary) and Male Socialist Trade Union Federation. Despite the threat from these unions to go up in arms, entrepreneurs are optimistic that the decision will be implemented as the prime minister himself was involved in the deal. “As the major trade unions have already agreed to the deal and even the prime minister was involved, we are confident that it will be implemented,” said Pashupati Murarka, the vice-president of FNCCI. However, there are concerns over the implementation part as strikes were organised after the 11- point agreement on March 24 too. “It is different this time around because the government has already decided to implement the deal unlike in the past,” Murarka said. “The ball is now in the government court,” said Bishnu Rimal, the president of GEFONT. According to him, the trade union faction led by Bajgain was not invited in the meeting of the CLAC as they don’t have a representative there.

A faction of the Maoist trade union and other fringe unions slammed the workers’ salary hike deal, saying it is against the workers’ interests.

Published on: 2 October 2011 | The Kathmandu Post

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