Freed Haliya Families in Nepal Still Face Injustice, ILO Study Finds

The ILO’s study found that while most verified freed Haliya households received some form of government assistance, the majority still live in conditions of vulnerability and precarity.

More than 15 years after Nepal formally abolished the Haliya bonded labour system, thousands of families formerly trapped in hereditary servitude continue to face deep socio-economic exclusion, according to a new study released by the International Labour Organization (ILO).

The report, titled "Analysis of the Situation of the Freed-Haliyas in Karnali Province of Nepal", reveals that despite the end of legal bondage in 2008 and the creation of a government rehabilitation framework in 2013, many freed Haliya families remain marginalized, living without secure housing, access to essential services, or sustainable employment.

The study focuses on the condition of freed Haliyas in the districts of Surkhet, Jajarkot, and Humla, and presents a sobering assessment of the continued discrimination, poverty, and lack of opportunity faced by this community.

“More than a decade after Nepal’s historic decision to abolish the Haliya system, the promise of full rehabilitation and inclusion remains unrealized for many,” said Numan Özcan, ILO Nepal Country Director. “This report is a mirror and a roadmap. It reflects the urgent need for coordinated, rights-based action to promote social and economic justice.”

A System Abolished, But Not Erased

The Haliya system, deeply rooted in Nepal’s caste hierarchy, historically forced Dalits—especially those from the lowest castes—into generations of debt bondage, working on landlords’ land without wages. Though the government outlawed the practice in 2008 and promised rehabilitation, implementation has lagged, and promises have not been fulfilled for all.

The ILO’s study found that while most verified freed Haliya households received some form of government assistance, the majority still live in conditions of vulnerability and precarity. Key challenges include:

• Lack of secure housing or land rights

• Limited access to clean water, electricity, and healthcare

• Widespread unemployment or insecure, informal work

• Persistent gender and caste-based discrimination

• Barriers to education and child protection

Child Labour and Gender Inequities Persist

Alarmingly, the study also highlights the prevalence of child labour, including in hazardous work. Freed Haliya children, especially in rural and marginalized communities, are being pulled into labour to support family survival, compromising their education, health, and future prospects.

Women and girls face double layers of discrimination—as Dalits and as females. Though some women have broken stereotypes by entering male-dominated trades like carpentry, they continue to confront social stigma, gender pay gaps, and lack of protection in the workplace.

“The intersection of caste, poverty, and gender compounds the challenges for freed Haliya women,” said a program officer from the ILO’s Bridge Project, which has supported women like Dipu Dohli to acquire skills, gain confidence, and support their families.

Rights-Based Rehabilitation: A Call to Action

Prepared by the ILO Country Office for Nepal, in partnership with the Purple Foundation and with support from the U.S. Department of Labor and the UK’s Foreign, Commonwealth and Development Office, the report lays out a comprehensive set of recommendations for all levels of government, development partners, and civil society.

Key recommendations include:

• Improved targeting and delivery of rehabilitation packages

• Vocational training and skills development, especially for women and youth

• Expansion of social protection coverage to cover all freed Haliya households

• Legal reforms and awareness-raising to eliminate caste-based discrimination

• Strengthening of labour inspection systems to prevent new forms of exploitation

• Guarantees of political participation and voice for Haliya communities

Above all, the report calls for a rights-based approach to rehabilitation that goes beyond token assistance and prioritizes freedom, dignity, and decent work.

A Blueprint for Change

The ILO emphasized that this report is not only an assessment but also a strategic guide for national and local actors. With Nepal’s Constitution guaranteeing social justice and inclusion, this moment presents an opportunity to reinvigorate efforts, mobilize resources, and build inclusive systems that allow every individual, including the freed Haliyas, to live and work in freedom and hope.

“We owe it to the freed Haliyas to ensure that legal liberation leads to real transformation,” Özcan added. “This is not just about the past—it’s about the kind of future Nepal wants to build.”