For instance, if estimations of Nepali foreign employment agencies are to be believed, more than 7,000 Nepali youths have returned before their contracts expired. More are likely to return in the coming days because of the slim possibilities of the effects of the ongoing financial crisis easing down immediately. Sadly, so far the government hasn’t come up with a special plan to deal with the effects of the global economic downturn.
Malaysia, one of the largest destinations for Nepali workers closed its door to foreign migrant workers in manufacturing and service sectors a few months back. These sectors used to absorb more than 90 percent of Nepali workers going there. Inflicted by the global financial slowdown the United Arab Emirates (UAE) too has announced downsizing foreign workforce by 45 percent. Another booming Asian destination, South Korea is also scaling down the demand for foreign workers.
However, the deepening global meltdown is not the sole cause for the bleak picture. Avenues for overseas jobs for Nepali workers have also been narrowing down due to security reasons in some countries. For example, the government has restricted Nepali women to work in Saudi Arabia citing increasing cases of exploitation and mistreatment. Lebanon has been reopened partially – only for institutional works – after suspension of three months due to the-then conflict in the Middle East. Israel, the most popular destination for Nepali women – especially for caretaker jobs — has suspended granting fresh working visas to Nepali workers citing irregularities, malpractice and low skill level of Nepali job seekers.
Figure provided by the Department of Foreign Employment (DoFE) shows that the number of overseas workers dropped to 11,077 during mid-April to mid-May from 18,091 a month earlier. Similarly total number of workers leaving for foreign jobs during the past 10 months of the current fiscal year fell to 184,902 from 192,555 compared to the same period last year.
Though the government has opened 106 countries for foreign employment, only a few are taking in Nepalis regularly. Due to the lack of diversification of labor destinations, more than 90 percent of outbound workers are concentrated in four countries – Malaysia, Saudi Arabia, Qatar and the UAE. Recently the Nepali government has opened Libya for institutional works and preparation is on to open Romania as well. However, these countries will not be reliable destinations in the long run as their economies are not big.
In a bid to lessen the woes of Nepali workers, a new Foreign Employment Act has envisaged the appointment of labor attaché in those destinations where Nepali workers exceed 5,000 in number. But it has not materialized nor has the process of appointing labor attaches been implemented. Instead, the issue itself has landed in controversy as the-then Minister of Labor and Transport Management (MoLTM) had made the decision hurriedly on the same day the previous prime minister resigned. Additionally, the government has failed to check the increasing practice of using Indian soil by foreign job seekers to make their ways to different destinations. Workers heading to overseas jobs via Indian territory are the ones who face maximum problems.
Manpower agencies which are key elements to systematize and promote foreign employment sector, are being blamed for the increasing suffering of Nepali workers. The government has utterly failed to systematize and enforce transparent recruitment procedures. For example, the government has fixed a charge of Rs 240,000 as a fee for individuals seeking jobs in Israel. But, in practice, manpower agents charge threefold the amount. Worse, Nepalis employed in Israel are working as manpower agents due to which Israel has suspended granting fresh working visas to Nepali job seekers.
Lack of co-ordination between the Ministry of Foreign Affairs (MoFA) and MoLTM create unnecessary hassles in dealing with problems faced by Nepali workers abroad (most of the labor issues are dealt by MoLTM while Nepali missions are under the purview of the Foreign Ministry).
As foreign employment sector contributes as much as 18 percent of the Gross National Product, the government should play an active role to manage and uplift this sector by making employment agencies responsible and Nepali missions more active. On top of that, the government should take initiatives to strengthen the capacity and skills of Nepali workers.
Additionally, it’s high time the government gave top priority to establish labor pacts with major recipient countries to safeguard the rights of Nepali workers and stepped up diplomatic efforts to protect jobs of Nepali workers amid the deepening financial meltdown.
We should not forget that it is the foreign employment sector that has so far kept Nepal intact despite the decade-long armed conflict. Without the inflow of billions of dollars as remittance, it would have been impossible for the Nepali economy to remain afloat amid slowdown in domestic economic activities and shrinking employment opportunities.
prabhakar@myrepublica.com
NRB floats foreign employment bonds worth Rs 250 million