Social Security Scheme to Cover Nepali Migrant Workers, Self-Employed in Foreign Lands

The social security scheme of Nepal will cover Nepali migrant workers and self-employed Nepalis in foreign lands. The Social Security Fund is unveiling the accommodation of Nepali migrant workers and those at self-employment in foreign lands by the scheme amid a function today (Wednesday) in the presence of Prime Minister Pushpa Kamal Dahal 'Prachanda'.

As part of the expansion of the contribution-based scheme, this is expected to benefit around 2.2 million Nepali migrant workers, said the Fund's spokesperson Bibek Panthi.

The Fund has already endorsed the procedure related to covering Nepali workers at jobs in the informal sector, foreign employment and self-employment in foreign lands by the scheme in a bid to bring all Nepali workers including migrant ones under the umbrella of social security, according to him.

Various trade unions have been demanding the accommodation of workers in the informal sector and self-employment by the scheme. The Non-Resident Nepali Association has also been lobbying for the coverage of Nepali migrant workers by the facility.

Launched three years ago, the scheme has until now covered only Nepali workers in the formal sector.

For this, aspiring Nepali migrant workers seeking a new labour permit have to be registered with the Fund. Around 2,000 aspiring migrant workers took labour permits on a daily basis, it has been said. 

As per the  endorsed working procedures, a foreign migrant worker and self-employed in a foreign land can be entitled to the Fund facilities by contributing 21.33 per cent of their basic remuneration or the minimum Rs 2,000 monthly and three-fold of it at maximum.

The government has set Rs 15,000 as the minimum remuneration:  Rs 9,385 basic remuneration and a dearer allowance of Rs 5,615 for a worker. Of the 21.33 per cent amount contributed under the scheme, 7. 48 per cent goes for accident insurance and for the disability and dependent family protection scheme and 13.85 for pension.

Any migrant worker registered with the Social Security Fund shall be entitled to the abovementioned three kinds of facilities. 

People at foreign jobs shall be eligible for drawing Rs 100 thousand as accident insurance, 60 per cent for pension in case of disability, Rs 25,000 as bereavement expenditures, and there is the provision of a 40 per cent lifelong pension to the dependent spouse.  Any aspiring Nepali migrant shall compulsorily obtain a registration number online from the Fund to seek a labour permit.

At present, the regular contributors to the Fund are entitled to various facilities under different headings such as accidental and disability protection schemes, medical and safe maternity schemes, dependent protection schemes and pension and old age protection schemes.

So far, 399,566 contributors to the Fund represent the informal sector. The contribution-based amount in the Fund is calculated at Rs 30.87 billion and it has paid Rs 3.81 billion to the contributors.  The SSF has been implemented since November 27, 2018.