1. In Nepal, what laws govern work permits?
- The 2017 Labor Act (2074)
- 2018 Labor Laws (2075)
- 2019 Directive on Foreign Citizen Labor Permits (2075)
2. What governing body in Nepal is in charge of work permits for foreign nationals?
- The Department of Labor has the authority to issue the work permit.
- The Department of Immigration has the authority to issue non-tourist visas based on work permits.
3. Is it possible for foreign nationals to work in Nepal without a work permit?
No, foreign nationals are not allowed to work in Nepal unless they have a work permit.
4. What are the reasons for the issuance of a work permit in Nepal?
a) In Nepal, the general procedure for obtaining a work permit is as follows:
Work permits are issued in Nepal due to a shortfall of skilled personnel.
b) Documentation is used to obtain a work permit.
Employees of organizations that receive foreign investment or provide foreign aid are granted a work permit.
Foreign nationals working on a contract basis in technical fields.
The general procedure for obtaining a work permit is as follows:
Section 22 of the Labor Act states that a foreign national may be employed in Nepal if a locally skilled human resource is unavailable. The employer who hires a foreign national must clearly show that the local skill is not available in Nepal. The employer must advertise the open positions in a national daily newspaper and apply for a work permit with the DOL.
A work permit is issued based on documentation:
When applying for work permits in Nepal based on recording, employers are not required to demonstrate a lack of local specialized skills. The issuance of a work permit is the result of merely registering with the DOL. Special treatment is given to (a) organizations with foreign investment or that conduct business in foreign aid by issuing work permits, and (b) organizations that conduct business in foreign aid by issuing work permits (b) (b) foreign nationals performing technical paid work through the issuance of work permits based on documentation.
Work Permit for Foreign-Invested Entities or Foreign-Aid Organizations:
Labor Rule Number 13 allows entities with foreign investment or providing foreign aid to hire up to three (3) foreign nationals based on documentation. Such entities are exempt from the general procedure for demonstrating a scarcity of skilled human resources in the immediate vicinity.
Work Permit for Foreign Nationals Involved in Technical Casual Work:
According to Section 24 of the Labor Act, technicians engaged in implementing or repairing any modern technology or industrial equipment for a period not exceeding three (3) months or engaged in related casual work are granted work permits only after the details are recorded with the Department.
5. What is the basic procedure for obtaining a work visa for a foreign national?
- The employer must post a job advertisement in a national daily newspaper and on the government’s designated web portal.
- filing a work permit application with the DOL
- If necessary, the DOL will ask the Ministry of Home Affairs for a letter of no objection.’
- After an assessment, the DOL will issue a work permit.
- After submitting an application, a foreign national will obtain a non- tourist visa from DOIM based on his or her work permit.
6. To obtain a work permit through the general procedure, the following documents must be submitted:
- Required to submit an application in the format specified
- Proof of publication in a national daily newspaper and the DOL-mandated online portal
- Employee’s passport (within six months prior to expiration).
- Personal information about the foreign national.
- The company’s tax clearance certificate
- Candidate qualifications, if any applications are filed by Nepalese citizens,
- The corporation’s certificate, as well as the employer’s Memorandum of Association and Articles of Association.
- A letter of no objection from Nepal’s Ministry of Home Affairs; and
- A plan for substituting local personnel for the foreign national.
- Confirmation Timeline: The general procedure will take 30 to 45 days to complete.
7. How long does the work permit have to be valid?
A work permit is typically granted for a period of one year and must be renewed annually. The work permit period can be extended up to the time stated depending on the nature of the work.
Foreign nationals with advanced skills and technical knowledge are the most sought-after types of workers. For a period of five years.
Other: Three years is the maximum.
NOTE: The employer must submit a renewal application to the DOL at least 30 days before the work permit’s legitimacy expires.
8. What is the government fee for a foreign national’s work permit?
- NPR 15,000 per month for up to 6 months of work
- NPR 20,000 for more than 6 months of employment
9. What is the most a company can hire in terms of foreign employees?
If a special agreement is reached between the employer and the Nepalese government, the number of foreign employees will be determined by the terms of the agreement. In the apparent lack of such an agreement, the employer may hire employees who account for less than or equal to 5% of the total number of employees.
10. Is there any circumstance in which a work permit for a foreign national is not mandated?
If the following conditions are met, Section 23(2) of the Labor Act exempts one from receiving a work permit. People with diplomatic immunity or who are exempt from the work permit requirement as a result of treaties or agreements signed with the Nepalese government and the employer.
11. Is a work permit sufficient to work in Nepal?
It is not legal to work in Nepal without a work permit. On the recommendation of the Government of Nepal’s Department of Industry, foreign nationals should be granted a non-tourist visa based on their work permit by the Department of Immigration.
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Alpana Bhandari is a founding partner and CEO of Prime Legal Consultants and Research Center. She graduated from American University Washington College of Law. She specializes in corporate/arbitration and family law.