In the wake of the forced resignation of sitting minister Kumar Belbase over graft, the government is looking to issue licences to new overseas employment companies through a fair, transparent and impartial process.

Twice engulfed in controversies over licences, the government is working to bring about new guidelines and provision for both new employment companies and those in operation. Ending speculation over the future of the 59 prospective employment agencies whose registration process had been suspended after the prime minister directed a halt to further licence issuance, the Ministry of Labour and Employment (MoLE) now hopes to register these companies following the same criteria that other new prospective companies will be beholden to.

The MoLE has been working for the last few months to draft a new guideline which is expected to come out very soon. The ministry has held several rounds of talks with concerned stakeholders, including representatives from the Nepal Association of Foreign Employment Agencies (NAFEA), the Department of Foreign Employment (DoFE), the Foreign Employment Promotion Board, the Ministry of Foreign Affairs (MoFA) and a suggestion panel formed by the prime minister to reform the foreign employment sector.

“The draft is still under discussion. We have been working to incorporate divergent views and the government’s recent programme to curb anomalies in the foreign employment sector,” said Binod KC, MoLE joint secretary, who is responsible for the draft preparation. The endorsement of the guideline has been delayed due to various reasons, including the bribery scandal that engulfed then minister Belbase. The recently formed Rapid Response Team and other high level initiatives to curb foreign employment irregularities have also delayed the overall process.

“We are planning to include provisions like a minimum academic criteria of SLC for agents, bachelor’s degree for manpower operators and an eight-room office, among others,” said one official on condition of anonymity.

MoLE officials said they were working to introduce efficient provisions on issuing new licences and renewal of expired ones, punishment for fradulent companies and supervision and regulation of existing companies. The guidelines are being drafted in line with the Foreign Employment Act-2007.

The government had suspended the issuance of licences to foreign employment companies last October citing widespread malpractices and fraud cases under existing provisions. Based on suggestions from a foreign employment expert panel, the prime minister had directed the concerned ministry not to resume the process until an effective mechanism is formed to oversee existing employment companies and agents. Director General of the DoFE Purna Chandra Bhattrai said that it was unlawful to prevent registration for new agencies forever. “The registration was suspended due to irregularities in the foreign employment sector. It was bound to resume after reformation.”

However, stakeholders are critical of issuing further licences, claiming that there are already too many such companies and that the government has done little to monitor them. Records show that the number of manpower companies now stand at 767, the licences of 265 having been scrapped.

“The government should review the condition of operational agencies and their owners. Issuing more licences could invite negative consequences,” said Bal Bahadur Tamang, NAFEA chief.

Published on: 7 November 2012 | The Kathmandu Post