Review Nepal News

The Difficulties to Implement Social Security Scheme
  Kathmandu, Nepal      December 31 2019

Review Nepal

Kathmandu, Nepal, December 31, 2019:The social Security Scheme brought by the government by setting even the specific deadline has been elapsing time and again sans tangible progress, thanks to the failure to attract both the employers and employees in the scheme. The government had introduced the scheme to include formal, informal and self-employed laborers.

Though about 900,000 employments providing agencies have registered across the country, only 11,902 employers’ agencies and 135,449 employees have been so far enlisted in the scheme. According to the Social Security Fund, the contribution amount deposited in the fund under the scheme is Rs 333.51 million.

As the government has failed to come with the clear mindset that whether the scheme is mandatory or not, both the employers and employees have been showing apathy to join in the scheme. Interestingly, the employees affiliated with the labor wing of the ruling head Nepal Communist Party (NCP) has also been hesitating to join in the scheme though the organization used to claim as of proletariats rather than other labor organizations.    

The striking question is here that why the scheme has failed even to attract the employees even if the scheme was brought for the welfare of the employees. As the government has done nothing contribution, the so-called contribution-based social security program has witnessed complications to bring into implementation.  The government has failed even to incentivize those joining the scheme and discourage those ignoring. 

As not only the employers but most of the employees have also seemed to have distracted, the government should not have delayed to ensure legal provision of not to slash employees’ existing perks and benefits while implementing the social security scheme and to avail the cash amount of one per cent social security tax collected from workers.

Following the persistent complaints from employers, employees and other stakeholders, the government has been prepping to review on the provisions of the fund.