Nepal finalises Business and Human Rights Action Plan

Kathmandu, Aug. 19

Nepal has finalised the draft of the Business and Human Rights National Action Plan (BHR-NAP) to make businesses sensitive and accountable to the human rights of labour, staff and consumers.

The BHRs are based on the UN Guiding Principles on Business and Human Rights (UNGPs) which are the most authoritative and widely adopted set of principles for responsible business, endorsed in 2011. They call on both governments and companies to identify, prevent, mitigate, and remedy actual and potential human rights abuses, according to the United Nations Development Programme (UNDP).

The BHR policy includes six major sectors of business and human rights - labour, consumer, women and children, migrant workers, environment and indigenous people, and gender equality and non-discrimination.

The BHR-NAP is formulated as per the commitments of the Government of Nepal at various conferences on business and human rights. Likewise, the fifth national action plan of human rights (2020-2025) of the government has announced to prepare a separate national action plan for the business and human rights on the basis of UN Guiding Principles, which would be implemented in all businesses and industries.

Although the Ministry of Labour, Employment and Social Security (MoLESS) began the process to develop the BHR-NAP in September 2020 with the aim to conclude it in two years, the process has been delayed due to various reasons including the coronavirus pandemic and need for additional consultation with the stakeholders. The MoLESS completed the draft of the NAP earlier this year.

The first ever policy initiative is in the final stage to be submitted to the Cabinet for the final approval but the MoLESS is in the mood to conduct a fresh round of discussion with the leaders of the private sector business associations including the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Confederation of Nepalese Industries (CNI) and Nepal Chamber of Commerce (NCC).

Secretary of the MoLESS, Kewal Prasad Bhandari, informed that all necessary consultation regarding the finalisation of the BHR-NAP has been completed and the draft is ready for the submission to the Cabinet.

But as the two large national associations of businesses – FNCCI and CNI – have got new leadership, the ministry wants to hold a final round of consultation with them.

"A team at the ministry is busy with the final consultation with the businesses. It is necessary in order to have their ownership in the policy document as well as to create environment for its effective implementation," Bhandari told The Rising Nepal.

Earlier, the FNCCI organised awareness and consultation meeting in four provinces to educate the business community and solicit their opinion on the proposed policy. Assistant Director of FNCCI, Sita Ghimire, who coordinated with various agencies for the meetings, said that businesses have been sensitised on the matter.

"The action plan has almost been approved from the business sector but we have been informed that there would be a final round of consultation soon," she said. The UNDP had supported the FNCCI in consultation. Likewise, the International Labour Organization (ILO) has also been supporting the initiative as it is working with the government as well as the private sector on the issues of Labour Act and Social Security Act.

The BHR has three major pillars – protect, respect and remedy. The NAP defines concrete and actionable steps, needed to fulfill the requirement for these pillars, for governments and businesses. It is the duty of the government to protect the human rights while all concerned should have easy access to the remedy, and businesses should respect the human rights. 

 Published in The Rising Nepal daily on 20 August 2023.