Over 600 workers complain of being denied festival allowance

More than 600 workers have lodged complaints with the Department of Labour and Occupational Safety, saying they were not paid their festival allowance for Dashain.

According to the department, these complaints began arriving by email and through its portal before Dashain and are still coming in. Under Section 37 of the Labour Act, 2074, employers must pay workers a festival allowance equal to one month's basic pay once a year.

If a worker does not request another festival as the occasion, this amount must be paid at Dashain, and those who have not completed a year of service must be paid in proportion to their period of work.

After the complaints came in, the department began hearings and issued directives to the concerned organisations. After a letter was sent on Asoj 30, one cardiac hospital paid about Rs 4.254 million to 240 staff.

According to the department's director general, Chakrapani Pandey, strict directives have been issued to employers and establishments to enforce the legal provision.