The Department of Labour and Occupational Safety has published a notice for Labour Audit submission. As per Section 100 of the Labour Act, 2074 and Rule 56 of the Labour Rules, 2075, every establishment is legally required to conduct a Labour Audit for each fiscal year and submit it to the concerned Labour and Employment Office by the end of Poush. The Labour Audit must be prepared in the format specified in (अनुसुची-१०) of the Labour rules available at the Department of Labour and Occupational Safety website: https://dol.gov.np.
Labour Audit Submission:
The Labour Audit can be submitted in one of the following ways:
- Via ILMIS: The employers and the HR can use the Integrated Labour Management Information System (ILMIS) of the Labour Department to submit the Labour Audit. https://ilmis.dolos.gov.np/
- Via Email: The Labour audit can also be submitted by sending it via email to the respective Labour and Employment Office.
In addition to the Labour Office, the audit report must also be submitted to the relevant regulatory authority, depending on the type of establishment:
| Institutes | Regulating authorities |
| Banks and Financial Institutions | Nepal Rastra Bank |
| Insurance Companies | Nepal Insurance Authority |
| NGOs | District Administration Office |
| Other Businesses | The Licensing or Supervisory authority that approved their operation |
Who can conduct a labour audit?
Labour audit can be conducted through an employee working in the enterprise (usually HR or a management level employee) or by hiring an external auditor. The qualifications of an auditor are as follows:
- He/She must be a Nepali citizen.
- He/She must have completed at least a bachelor’s degree
- He/She must have two years worth of experience in the management level of an enterprise or an industry
The Penalty Clause:
Failure to submit the Labour Audit within the deadline may lead to a fine of NPR 20,000, as per Section 163(2)(b) of the Labour Act, 2074.
As your trusted recruitment partner, we encourage all employers to submit the Labour Audit before the deadline.
