Nepal’s Department of Labour and Occupational Safety has directed private-sector businesses and educational institutions to provide employees and workers with their legally mandated festival allowance, commonly known as the Dashain bonus. The department has contacted major business associations and private school organizations, urging them to ensure that affiliated establishments fulfil their legal obligations.

The department has reached out to the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), the Confederation of Nepalese Industries (CNI), and the Nepal Chamber of Commerce, asking them to instruct their member businesses to distribute the festival allowance in accordance with the law.

Separate directives have also been issued to the Private and Boarding Schools’ Organization Nepal (PABSON) and the National Private and Boarding Schools’ Association Nepal (N-PABSON) to ensure that teachers and staff at private educational institutions receive the allowance.

Under Section 37 of Nepal’s Labour Act, 2074, workers are entitled to an annual festival allowance equivalent to one month of their basic salary to celebrate festivals in accordance with their religion, culture, and traditions. Employees who have worked for less than a full year are entitled to a proportionate amount based on their period of service.

The department has stated that workers whose employers fail to provide the legally required allowance can file complaints with the relevant local labour offices. Employers found to be in violation of the legal provisions may face further legal action.