Page 61 - KDU Law Journal Volume 4 Issue 2

KDU Law Journal Volume 04 Issue II
September, 2024
(ie. informal sector, self-employed, and foreign migrant workers)
in due course. Despite the mandatory requirement for formal sector
employers to register with the SSF, only 18040 employers have
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been registered. Meanwhile, 326,220 private companies have been
registered at the Office of Company Registrar (OCR). It is revealed
33
that SSF needs to strengthen its competency and mechanisms as
well. At present, the Contribution-Based Social Security Regulation,
2018 (2075 B.S.); Labour Act, 2017; Labour Regulation, 2019, and
Social Security Scheme Operational Procedures, 2018 (2075) with
Second Amendment, 2021 (2077) are major governing instruments
by the Social Security Fund (SSF). Though Nepal is not the party to
the ILO’s Social Security (Minimum Standards) Convention, 1952
(No.102), the CBSA has covered seven of the nine contingencies
34
set out in the Convention, which are discussed in the following
tables and paragraphs.

Those contingencies have been covered as an ‘umbrella’ under four
schemes and operated by the SSF as below;

Social Security Fund (Schemes and Allocation) 35
S. No. Social Security Schemes Allocation
1. Medical Treatment, Health & Maternity Protection Scheme 1%
2. Accident and Disability Protection Scheme 1.40%
3. Dependent Family Protection Scheme 0.27%
4. Old Age Protection Scheme 28.33%
Total 31%
At a glance, the above-mentioned social security schemes have
covered the lifecycle of a human being. But there are certain legal

32 Article 17 of the Contribution-Based Social Security Act, 2017
33 State of Private Sector in Nepal: Contributions and Constraints, 03 May 2023, FNCCI
(44)<:https://fncci.org/uploads/publication/file/Report_StatePSNepal_20230519064735.
pdf ::> (accessed on 03 24 2024)
34 Social Security Schemes to be Operated, Article 10 of the Contribution-Based Social
Security Act, 2017
35 Section 25 of Social Security Scheme Operating Procedure, 2018 (2075)
law.faculty@kdu.ac.lk
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