Section 13: Welfare Fund

1) Out of the amount allocated for bonus pursuant to Section 5, seventy percent of the amount remaining after the distribution of bonus shall be deposited in the welfare fund established in accordance with the prevailing law and the remaining thirty percent shall be deposited in the national level welfare fund established by the Government of Nepal to make arrangements for the rights and interests of the employees of the enterprise.

1A) Notwithstanding anything contained in sub-section (1), an enterprise owned by the Government of Nepal shall deposit twenty percent of the amount remaining after the distribution of bonus out of the amount allocated for bonus pursuant to Section 5 in the welfare fund established in accordance with the prevailing law and the remaining eighty percent shall be deposited in the national level welfare fund established by the Government of Nepal to make arrangements for the rights and interests of the enterprise.

2) The operation of the welfare funds as provided for in sub-section (1) shall be in participation of the employee as prescribed.