Nepal floods threaten jobs and livelihoods outside disaster zone: ILO

“The employment consequences of this disaster will not stop at the edge of the flood area,” said Numan Özcan, ILO Country Director for Nepal.

“Damage to transport networks, electricity infrastructure and trade routes can cause shocks to connected supply chains, markets and services, impacting workers and companies in more distant regions.”

Loss and destruction

Massive flooding in late August – triggered by the collapse of a glacier on the border with China – destroyed homes, workplaces, roads, bridges and energy infrastructure. More than 1,450 people were killed and 5,786 remain missing, according to authorities.

ILO estimated that around 21,400 workers live within four kilometers of the “flood footprint”, and that the disaster has disrupted economic activity and prevented workers from reaching jobs, markets and essential services.

People working in tourism, agriculture and transport as well as those working in small businesses in particular are facing significant pressure.

They include guides, porters and transport operators as well as hotel, restaurant and agricultural workers. These workers may face reduced income, job disruption, difficulty in accessing needed customers, inputs and markets.

Concern for informal workers

The ILO explains that Nepal has high levels of informal employment, meaning many workers have limited income and social protection.

Daily wage workers, freelance and informal workers, as well as self-employed workers or those who have micro and home businesses are at higher risk.

“Women workers may face the combined impact of loss of paid work and increased unpaid care responsibilities,” the assessment said, further warning that “severe losses of household income may also increase the risk of child labor as a negative coping strategy.”

Trading disruption

The report also examines disruptions to the Nepal-China trade corridor, which could also impact companies and workers outside flood-affected areas.

Two major land routes – Rasuwa and Tatopani – accounted for about 22 percent of Nepal’s imports from China over the past year. The floods severely damaged important transport infrastructure in Rasuwa, which accounts for almost half of exports to China.

Disruptions “could therefore impact not only the transport sector and border-related employment, but also workers and companies involved in wholesale and retail trade, construction, manufacturing, agricultural processing and other activities linked to imported inputs and export markets.”

The ILO assessment emphasizes that recovery and reconstruction can help protect livelihoods while creating decent jobs.

The report concludes with recommendations for next steps, including immediate income support for households and businesses, “labour-intensive reconstruction” and job matching and skills development.