Nepal and Saudi Arabia Sign Long-Awaited Labor Agreement

Nepal and Saudi Arabia have finally signed a long-anticipated labor agreement. The pact, signed on Sunday by the labor ministers of both countries, is based on the standards of the International Labour Organization (ILO).

On Nepal’s side, Minister for Labour, Employment and Social Security Rajendra Singh Bhandari signed the agreement, while on Saudi Arabia’s side, Minister of Human Resources and Social Development Ahmed bin Suleiman Al-Raji signed it. The agreement prioritizes service facilities for workers, working conditions, social security, healthcare, grievance management, and protection of labor rights.

Minister Bhandari expressed confidence that the agreement would institutionalize and strengthen Nepal–Saudi labor cooperation. He highlighted that recruitment processes would now be transparent, fair, and cost-effective, and that future Nepali workers in Saudi Arabia would enjoy secure and sustainable service facilities.

Nepal’s Acting Ambassador to Saudi Arabia, Sirjana Acharya, stated that the agreement would further strengthen bilateral relations. She noted that Nepali workers in Saudi Arabia would have easier access to services and a more supportive work environment to utilize their skills and experience.

Labor Councilor Kaviraj Upreti explained that while Saudi Arabia had proposed a labor agreement for domestic workers, further discussions between the Nepalese government and relevant authorities were ongoing. Special attention is being given to the safety of female domestic workers. Currently, many Nepali men work in Saudi Arabia as drivers, security guards, agricultural laborers, cooks, gardeners, and cleaners.

The Nepalese government had imposed a ban on sending domestic workers abroad in 2015 (2072 BS) and, following a Cabinet decision in 2018 (2075 BS), implemented a policy not to send workers for less than 1,300 riyals. Earlier proposals for zero-cost labor agreements had not resulted in concrete negotiations.

This agreement is expected to ensure wage security, end dual contracts, control excessive costs, prevent worker exploitation and human trafficking, provide workers access to justice, and clarify employer responsibilities.

Seen as a new chapter in foreign employment, the Nepal–Saudi labor agreement is expected not only to create more opportunities for Nepali workers but also to take concrete steps toward safeguarding labor rights and ensuring worker protection.