Labor Department directs mandatory 'festival allowance' for workers
The Department of Labor and Occupational Safety has directed all employers and establishments to provide mandatory festival allowance to workers as per Section 37 of the Labor Act 2074. The directive was issued after complaints that some employers were not providing the allowance.
Kathmandu — The Department of Labor and Occupational Safety has directed all employers and establishments to provide mandatory festival allowance to workers. The department issued this directive in accordance with Section 37 of the Labor Act 2074.
The department stated that the directive was necessary after receiving complaints that some employers were not providing festival allowance to workers.
According to the department, workers must receive an amount equal to one month's basic salary as festival allowance for festivals celebrated according to prevailing religion, culture, and tradition.
This directive is expected to support the financial security of workers.