RIYADH: Nepal and Saudi Arabia have signed a long-pending labor agreement in Riyadh, aiming to make the recruitment of Nepali workers more transparent and strengthen protection of their rights.

The deal, finalized after nearly a decade of negotiations, was signed by Nepal’s Labour Minister Rajendra Singh Bhandari and Saudi Minister of Human Resources Ahmad bin Sulaiman AlRajhi.

With this agreement, Nepal now has labor pacts with 13 countries. The government said the deal follows International Labour Organisation standards, ensuring wage security under Saudi law, ending dual contracts, curbing excessive recruitment fees, preventing fraud, and improving access to justice.

Contracts signed in Nepal will be legally recognized in Saudi Arabia, guaranteeing agreed wages and benefits.

Unskilled Nepali workers will receive a minimum monthly salary of 1,000 riyals, along with 300 riyals for meals. A joint technical committee from both countries will monitor implementation.

Officials say the agreement opens a formal channel to address worker rights and labor disputes, an issue highlighted by the deaths of 684 Nepali workers abroad over the past two fiscal years.

Labor experts and recruiters have stressed that effective enforcement, including resolving exit permit restrictions, will be key to ensuring the deal delivers real protection rather than remaining symbolic.