Over 2,000 Nepalis leave the country each day seeking jobs abroad. The growing trend of migration of Nepali workers to different countries has resulted in an acute labour crunch in the housing sector. The migration of Nepali labours for foreign employment has widened the gap between supply and demand of skilled workers, and employers are forced to hire Indian workers to fulfill this shortage. Due to the shortage of labours, wage rates have also doubled as compared to the last two years. The daily wage of skilled worker and informal labour is Rs 800 and Rs 500 respectively. Two years ago, it used to be Rs 400 and Rs 200 per day. With soaring labour cost, the construction cost of housing has also increased.

“We are not able to complete projects on time due to labour shortage,” said Anil Maharjan, Managing Director of Vision Housing and Real Estate Pvt Ltd. Maharjan informed that projects that need to be completed within six months now take nine months due to unskilled workers. He said that due to labour crisis, the project cost and construction cost has also increased. Citing that the problem is getting worse each year, he said, “If the same situation persists, the time will come when it will be hard to find labours even after paying more.” According to him, they pay Rs 650 to Rs 700 per day for informal workers and Rs 1,000 for skilled manpower.

Sarad Man Joshi, Senior Project Manager at Civil Groups Pvt Ltd, said, “It is very difficult for us to retain skilled manpower and informal workers in our projects.” Citing that Nepalis work for only three to four months, he said, “Workers who are in the process of foreign employment join work and then leave when they get working visa to abroad for employment.” Unlike present situation, there used to be 100 per cent Nepali workers at construction sites five years back, he said, “With the passing years, Nepalis are attracted to foreign employment and now we have only 20 per cent of Nepalis as workers in total.”

Citing that Nepali workers are more efficient and their workmanship is good for exteriors of buildings, Joshi said, “This may be the reason why foreign employers hire them.” The company faces delays in the completion of projects, difficulties finding skilled manpower and managerial problems with Indian nationals. He warned that if the situation remains in the workers market, within 10 years it would be very difficult to conduct any development work.

Ichchha Bahadur Wagle, Vice President of Nepal Housing and Land Developers Association, blamed it on the mentality that one can earn more in foreign countries than in the home country. Wagle said, “The work and payment is almost same if done with the same dedication here or in a foreign country.” Citing that the government should change the mentality of people, he said, “There should be industrial as well as agricultural sector growth in the country for retaining Nepali workers.”

According to him, 25 per cent of workers employed in the construction sectors are Indians across the country, of which 75 per cent are employed as electricians, carpenters and plumbers. It is said that Indian workers mainly come from Bihar, Uttar Pradesh and Orissa.

“As this is the time of for rice plantation, 30 per cent of the total workers return home which hampers work,” said Bijay Rajbhandari, Chairman of CE Construction. He said, “Labour crisis will hit hard in the days to come if Nepalis keep going to foreign countries for employment at the same rate.” With the boom in development and realty sector, he assumed the demand for labourers will exceed supply.

Furthermore, he said that change in political leadership in India, booming real estate in Dehradun and the World Cup in UAE attracts Nepali workers abroad. According to him, hardly five to 10 per cent of residents.

source: the himalayan times,25 may 2014