Nepal: trade unions fight for full service charge to go to workers

Major Trade Unions of Nepal expressed their solidarity to the Hotel and Tourism sector workers' demand regarding the 10 % service charge. Several social dialogues meetings took place between the Employers’, represented in the Hotel Association Nepal (HAN) and the Nepal Tourism and Hotel Labourers’ Union Association from NTUC, GEFONT and ANTUF to resolve the issue but to date, the debate continues.

The major three tourism and hotel Workers unions demand the staff should get the entire amount collected in the service charge. The service charge collected from customers is currently divided between employees and the management: as per the first agreement signed in 2006, employees are getting 68 percent, while management gets 32 percent. A joint struggle committee of the associations has also been established to resolve the problem but was not heard. The service charge collection was made mandatory 12 years ago.
 
Mr. Khemraj Khadka, President, Nepal Tourism, Hotel, Casino and Restaurant Workers Union (NTHCRWU- a pioneer affiliated national union to NTUC and IUF internationally) accused the HAN officials of not respecting the initial agreement. There was a 20 points agreement between workers and HAN officials where they agreed to set up a task force to monitor and review the service charge every three years but not a single meeting was held.  
“When we made the agreement, we were very new in the practice of service charge in Nepal, but there is an international practice of taking 2-15%. Giving 32 % to management is an injustice towards the workers, now our demand is to implement 100 % service charge to the worker” Khada said.