The Foreign Employment Act 2007 (the Act) created new offenses for manpower agencies and a more stringent agency licensing system. It also created specialized mechanisms to handle violations of the Act by manpower agencies, including to compensate migrant workers for losses and to prosecute manpower agency personnel for serious violations. However, few manpower agency personnel have been prosecuted or the agencies otherwise sanctioned for harms against migrant workers, and compensation has been minimal. This is due to obstacles that prevent migrant workers from filing cases, and shortcomings in the handling of cases by government institutions. As a result, manpower agencies operate with relative impunity in Nepal, increasing the vulnerability of many Nepali men and women travelling abroad for employment.

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