Hire your remote team in Nepal

Only 399 EUR per employee per month

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Hiring a remote team in a country as Nepal comes with a lot of overhead, such as compliance, local laws, taxes, etc. As a company, you don't want to worry about knowing all the local laws. Instead you want to focus on your remote team and the business. Rivermate's Employer of Record (EOR) solution helps companies hire remote employees in Nepal. We take care of global payroll, taxes, benefits, compliance and HR activities. So you can focus on growing your business.

A remote team

1. Hire a remote team in Nepal with Rivermate

Payroll, benefits, taxes, and compliance can be difficult to manage in Nepal, particularly if you don't have established local relationships. You can hire employees in Nepal effectively, conveniently, and in full compliance with all relevant labor laws using Rivermate's global Employer of Record (EOR) solution. We handle the responsibilities and legal risks associated with foreign employment so you can concentrate on growing your company.

2. Introduction

Rivermate is a global employment solutions company that provides Employer of Record services in Nepal.

As an employer of record, we help you hire employees and run payroll services in Nepal, allowing you to avoid the necessity of first establishing a branch office or subsidiary in Nepal.

It is not necessary to establish an entity in order to hire an employee. We can hire your employee in any country with a few mouse clicks. Using our Employer of Record solution, you can have full compliance, benefits, and automated payments.

If you wish to hire a remote team in Nepal or individually hire remote employees in Nepal, Rivermate’s global employer of record services will make sure that the process will be as seamless as possible for you.

Send us a message so we can talk about how Rivermate’s Employer of Record Nepal services can best help your company!

3. Hire a remote team in Nepal

Nepal is a lovely landlocked country in South Asia. The country is located in the heart of the Himalayas, bordered by Tibet on one side and India on the other.

The country's economy has suffered as a result of the country's constant political upheaval. As a result, low wages and poor working conditions dominate employment in the country. Furthermore, nearly 3.7 million workers lost their jobs as a result of the pandemic and nationwide lockdowns.

4. Cost of living in Nepal

Nepal's cost of living is $385, which is 2.43 times less expensive than the global average. Nepal ranked 195th out of 197 countries in terms of cost of living and 139th in terms of quality of life.

In Nepal, the average after-tax salary is $202, which is enough to cover living expenses for 0.5 months.

5. Cost of renting in Nepal

Nepal's standard of living is lower than in most other countries around the world. Life is simple here, and the disparity between rich and poor is not obvious. The cost of living in Kathmandu, Nepal's capital, is higher than in Pokhara, Janakpur, Biratnagar, or Birgunj.

A 900 square foot apartment in an expensive area will cost around USD 348 (41,552 NPR) per month, while the same apartment in a less expensive area will cost around USD 173. (20,656 NPR). Dinner for two costs approximately USD 14.7 (1,755.22 NPR), and a can of beer (16 fl oz) in a pub costs approximately USD 2.46. (293.73 NPR).

6. Major industries in Nepal

Agriculture: Agriculture is the country's most important industry, accounting for 31.7% of Nepal's GDP and employing nearly 65% of the population. The country's total arable land area is 25%, and forests cover nearly 40% of the land area. The rest of the area is made up of mountains. Wheat, rice, fruits, and vegetables are among the most common crops grown in Nepal.

Tourism: Tourism is the country's second-largest industry, accounting for the majority of foreign income. Nepal is home to Mount Everest, the world's highest mountain above sea level, as well as several other well-known peaks. Every year, a large number of mountaineers visit the country to visit these mountain ranges. Lumbini Park, a World Heritage site and the birthplace of Gautama Buddha, is also located in Nepal. Nepal is ranked 103rd in the Global Travel and Tourism Competitiveness Index.

Manufacturing: The manufacturing industry in Nepal is still developing, but it has the potential to contribute significantly to the country's economic growth. These are small industries focused primarily on agricultural food processing. Jute manufacturing is a critical source of revenue for foreign investors. Meat, rice, and oil are also important manufacturing industries in Nepal.

Nepal is heavily reliant on foreign aid from international governmental organizations, donor countries, and international financial organizations due to a lack of well-developed industries. The United Kingdom, World Bank, and Asian Development Bank are among their major donors.

Nepal is not well-known for its fast internet connections. However, as the number of people using the internet grows, the government is gradually improving speed and connectivity provisions. Vianet, Worldlink, Subisu, and Nepal Telecom are among the country's leading internet service providers.

7. Hiring cost in Nepal

Nepal recently increased the minimum wage for workers, and the current minimum wage is USD 127. (15,164 NPR). In general, the salary structure in Nepal varies greatly depending on the job and the location. The salary ranges from USD 127.50 (15,234 NPR) to USD 452.04 per hour (53,974 NPR). Bonuses and other allowances are frequently included in this salary.

8. Employment laws Nepal

The introduction of the New Labor Act in Nepal has resulted in a recent change in employment laws. The new Act allows for greater hiring flexibility, as well as clear provisions for working hours and role classification. It also grants employers proper rights to carry out their supervision and direction. In addition, the new law formalizes outsourcing, allowing access to better talent.

Working Hours and Overtime: Under the new labor laws, the country's working hours are eight hours per day and 48 hours per week. Overtime pay for wage earners is one and a half times the workers' regular pay, with a maximum of 24 hours of overtime per week.

Annual Leave: In Nepal, annual leave is calculated based on the number of days an employee works for the company. Every employee is entitled to 13 public holidays. Workers are entitled to 12 days of fully paid sick leave per year under the Act. By the end of the year, these sick days can be accumulated for a total of 45 days. Maternity leave is granted to female employees for 98 days, of which 60 days are paid. Workers are given 15 days off for paternity leaves, which are fully paid.

Drawbacks: Some of the country's employment issues include a pay gap between male and female employees, a lack of anti-harassment policies in the workplace, and a more inclusive workplace for people from the LGBTQ community.

Although labor law in Nepal is simpler than in other countries, dealing with international legalities and taxation requires expertise.

9. Top skills Nepal

The unemployment rate in Nepal has skyrocketed since the COVID-19 virus outbreak. Because of a lack of opportunities in the country, a significant portion of the population is migrating to the Middle East, India, South Korea, and Japan. As a result of this migration, most industries, including tourism, agriculture, industry, construction, and business, are experiencing severe labor shortages. This has a significant impact on the country's overall growth.

10. Economic landscape in Nepal

Unfortunately, Nepal is one of the world's least developed countries. Its economy is heavily reliant on imports and international markets. Nepal imports the majority of its necessities, from fuel to fertilizer, metals to consumer goods.

One of the primary causes of the country's underdevelopment is its political and administrative systems. The government has made no changes to its trade or investment policies in order to accelerate economic development and attract foreign aid. Foreign aid-funded programs were ineffective as well.

11. Market size in Nepal

According to a World Bank report, Nepal has successfully added four million jobs in the last decade, owing to the country's shift away from agriculture and toward services and modern industries. However, nearly half of these were wage jobs.

Due to a lack of opportunities, there has been an increase in international migrants, who earn much higher wages than their Nepalese counterparts. Women find it more difficult to relocate to foreign lands for better opportunities, and they also do not have enough opportunities in the country, as working conditions are often subpar. Foreign workers account for only 5% of the total workforce in the country, indicating a significant gap that must be filled by efficient employees and workers.

12. Minimum wage in Nepal

The minimum wage in Nepal is NPR 13,450 a month.

13.Why choose Rivermate to hire your remote team in Nepal?

Establishing an entity in Nepal to hire a team takes time, money, and effort. The labor law in Nepal has strong worker employment protection, requiring great attention to details and a thorough awareness of local best practices. Rivermate makes expanding into Nepal simple and effortless. We can assist you with hiring your preferred talent, managing HR and payroll, and ensuring compliance with local legislation without the hassle of establishing a foreign branch office or subsidiary. Our PEO and Global Employer of Record (EOR) solutions in Nepal give you peace of mind so you can focus on running your business. Please contact us if you'd like to learn more about how Rivermate can help you hire employees in Nepal via our Employer of Record (EOR) / PEO solution.

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