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LABOUR LAW
HISTORY OF LABOUR LAW (MYANMAR)
In 1935, Myanmar under British colony
Labour Act (11) + Additional (10) in 1951 = 21
In 1964, those labour Act 21 become rule base on “Labours’ basic right &
duties Law; 1964”
Thoe 21 Rules become Law again because of revoke of “Labours’ basic right &
duties Law; 1964” in 2010.
Then revoke three Law
The Apprentices Act
The Emigration Act
The Children Pledging of Labour Act
Then add “Law relation to overseas Employment”
Final : 19 Law (Ministry of Labour 14 + Other Ministry 5, e.g. Mining, Port..)
LABOUR LAW (Under MoL)
1. The Employment & skill development Law (2013)
2. The Minimum Wages law (2013)
3. The Payment of Wages Act (2016)
4. The Factories Act (1951); Amendment (2016)
5. The Leave and Holidays Act (1951); Amendment (2014)
6. The Social Security Law (2012)
7. The Workmen’s Compensation Act (1923) ***
8. The Settlement of Labour Dispute Law; Amendment (2014)
9. The Shops and Establishment Act (2016)
10. The Employment of The Children
11. The Labour Organization Law (2011) ***
12. The Employment Statistics Act (1948) ***
13. The Employment Restriction Act (1959) ***
14. Law Relation to Oversea Employment (1999)
15. Occupational safety & health Law (2019)
*** Amendment process
LABOUR LAW (Under Others Ministry)
Minister
DG
DG
(Immigration &
(Labor) Population)
DDG DDG
. Factory
National Dept.
Immigr Registrat Division
and Dept. of of
Dept of
SSB General ation ion and training
Labor
Labor
Citizens Popula schools
Labor Laws
Relations Dept.
Inspection hip Dept tion
Dept.
DEPARTMENT OF LABOUR
Skill development
fund
(a) The Probation Period is three months, starting from the date of appointment
of the Employee
Note: If the Employer deems a Probation Period unnecessary, the Employer may
appoint the Employee directly as (permanent) staff.
Resignation and Termination
(1) Upon confirmation of employment, the Employee shall, if desirous of
resigning from work, give at least one months’ notice in advance to the
Employer, Manager or Administrator.
(2) Upon confirmation of resignation, the Employee shall return the salary
card, employee card, work-related equipment, materials, accounts, moneys
and assets entrusted to Employer.
(3) The Employee shall give at least one months’ prior notice to the Employer
if the Employee is desirous of resigning from work. The Employer shall permit
the resignation with disbursement of any outstanding salary/wage for the
days actually worked and remaining earned leave days, but shall not be
required to pay severance pay to the Employee.
(4) Any Employee who attended training paid for by the Employer shall be
subject to the relevant provision of the Employment and Skills Development
Law (2013) in the event of a resignation from work in accordance with the
above sub-sub-paragraph (3).
Implementing Training Programs and
Skills Development of Workers
Termination
(1) If the Employer terminates the employment of the Employee, the
Employer or a person on behalf of the Employer shall sign and give the
Employee an official notice and keep records of the reason for the
termination. The Employer shall solely be responsible for all matters
regarding the termination or dismissal of the Employee.
(2) If the Employees violate the prescribed rules, the Employee shall – for
ordinary misconduct – be given a written warning for the first violation, a
written warning for the second violation and sign an undertaking for the third
violation. In the event of any further violation within twelve months after the
third violation, the Employer may terminate the employment of the Employee
without payment of severance pay/compensation. If the Employee does not
commit any further violation within twelve months from the third violation or
if no other violation is committed within twelve months after a case of
ordinary misconduct, all previously committed violations shall be cancelled.
Implementing Training Programs and
Skills Development of Workers
Termination
(3) Other than in accordance with above sub-sub-paragraph (1), the Employer
may terminate the employment by giving at least one months’ prior notice to the
Employee and payment of severance pay in accordance with the applicable
labour laws. The Employee shall however not be dismissed in contravention of
provisions of law and regulations.
(4) In the absence of a Labour Organization, the Employer shall coordinate with a
Labour Affairs Negotiation Work Committee in respect of redundancies and
termination of employment of Employees. If a Labour Organization has been
formed, a representative of the Labour Organization and a representative of the
Labour Affairs Negotiation Work Committee shall jointly negotiate with the
Employer or his representative.
Termination of Employment Contract
The Employment Contract may be terminated for the following
reasons:
(a) Winding up of the factory/workshop;
(b) Cessation of the Employer’s business by reason of unforeseeable
events; and/or
(c) Death of the Employee.
Contractual Obligations
Obligations of the Employer:
(1) The Employer shall not discriminate or deny equal treatment to the
Employee based on union membership, race, religion, gender or age;
(2) Foreign Employers, supervisors, professionals and family members shall respect
and abide by the applicable laws as well as the culture and customs of the
Republic of the Union of Myanmar;
(3) The Employer shall respect and comply with the applicable laws of the
Republic
of the Union of Myanmar;
(4) The Employer shall have the right to sue and be sued in accordance with the
applicable laws;
(5) The Employer shall inform the Employee about their rights and benefits of the
employment; and
(6) The Employer shall give special priority to workplace safety and health in
Employee’s obligations
(1) The Employee shall comply with instructions issued in accordance with
needs of the enterprise concerning the workplace safety and health;
(2) Before entering the workplace, the Employee shall wear workplace safety
equipment as prescribed in accordance with the operational needs of the
Employer;
(3) The Employee shall refrain from consuming intoxicants or causing
harassment, danger or physical harm to colleagues at the workplace and
during working hours;
(4) The Employee shall not, without permission, disclose confidential
information of the Employer. The Employee shall not extract, use, copy,
remove, delete and/or carry outside any documents, accounts and/or records
related to the business of the Employer;
(5) The Employee shall abide by the rules and regulations issued from time to
time upon mutual agreement between representatives of the Employer and
Employee;
(6) The Employee shall pay taxes and fees in accordance with the applicable
laws;
(7) The Employee shall respect and comply with the applicable labour laws;
(8) The Employee shall have the right to sue and be sued in accordance with
the applicable laws.
Service Year Severance Pay (Noti
#84/2015) 3rd July
More than 6 months but less than 1 year Last drawn salary for 0.5 month
More than 1 year but less than 2 years Last drawn salary for 1 month
More than 2 years but less than 3 years Last drawn salary for 1.5 months
More than 3 years but less than 4 years Last drawn salary for 3 months
More than 4 years but less than 6 years Last drawn salary for 4 months
More than 6 years but less than 8 years Last drawn salary for 5 months
More than 8 years but less than 10 years Last drawn salary for 6 months
More than 10 years but less than 20 years Last drawn salary for 8 months
More than 20 years but less than 25 years Last drawn salary for 10 months
25 years and upwards Last drawn salary for 13 months
(2) MINIMUM WAGES LAW (2013)22 March
Objective:
To fulfil basic need of workers & their family
To increase competence
To increase competitiveness
Entitle enterpirce
Trading
Production
Services
Agriculture & Farms
Basic facts to determine minimum wages:
Need of workers & their family
Current wages
SSB benefits
Basic cost changes (e.g. Food, Cloth, place)
Social class to be harmonized
Employment opportunity
GDP & GDP / capital
Notification # 2/2015 (28 Aug 2015)
Effective on 1st Sep 2015, minimum wages K450/hr, K3,600 / day
Not entitle for workers <15 & family business.
Minimum wages ++ (e.g. bonus)
Note: Need to inform about OT plan to work place law inspection department
before 3 days
OT Calculation
For salary earners:
Overtime wage per hour = {(salary x 12 month) / 52 week x 44 (48) hrs} x 2
Piece-work labourers:
Overtime wage per hour = {(daily average wage x 6 day) / 44 (48) hrs} x 2
Factory Act (Amendment)
Employer has proper arrangement to protect affect of hearing sense & health
by noise level & accident. (Section: 37, Ka)
Employer has to arrange for in-charge, supervisor, workers to attend work
place safety training given by training centers which recognized by MOL to
reduce accidents and workplace diseases (Section:43.Ka)
Employer has to arrange creches for under five years of their children which
need to get support from Ministry for more than 100 mothers workers. If less
than 100, employer need to arrange suitable creches. (Section:50,1)
Factory Act (Amendment)
Medical treatment
Sickness
Right to take medical treatment at the permitted hospital or clinic for a
period up to 26 weeks or up to 52 weeks or to a period specifically stipulated
by the Social Security Board
Cash benefit
60 percent of average wage of the previous four months as cash benefit
relating to sickness up to 26 weeks
Health & Social care insurance
Medical treatment
Pregnancy and Confinement
maternity leave for six weeks before confinement and a minimum of eight
weeks after confinement, up to a minimum of 14 weeks in total. Moreover, the
right to enjoy another four weeks after enjoying maternity leave for child care if
it is the twin delivery;
70 per cent of average wage of a year as benefit relating to maternity for the
period of maternity leave
50 per cent of average wage of a month as maternity expenses for single
delivery, 75 per cent of average wage of a month for twin delivery, and 100 per
cent of average wage of a month for triplet delivery and above
70 per cent of average wage for the period of maternity leave miscarriage
contained (6 weeks)
the right to take medical treatment for her child up to one year after
confinement;
Adoptive child under one year, get 70% of average wages up to 8 weeks, enjoy
leave not exceeding eight weeks
Health & Social care insurance
Paternity benefit for confinement
The right to enjoy 70 per cent of average wage of previous one year
as benefit x 15 days
Maternity expenses (wife not SSB membership)25% for single delivery,
37.5% for twin delivery, and 50% for triplet delivery and above
The Right to Take Medical Treatment for Retired Persons
The insured Civil Services after retiring or the insured after receiving
invalidity benefit and superannuation benefit
a person who had paid contribution for 180 months and above
Benefit of Funeral Expenses
If the insured is deceased of occupational injury or any other cause
he is entitled to enjoy up to a maximum of five times of the average
wage of a month within the last four months
(2)Family Assistance Insurance System
Benefits (Section:31)
In respect of the scholastic stipend for children
if an insured who has paid contribution for a minimum of 36 months and
who earns less than the stipulated amount of income has the children
learning a full time education, he is entitled to enjoy scholastic stipend
from family assistance fund in accord with the stipulations
for the children born of an insured couple who earn less than the
stipulated amount of income, only one insured is entitled to enjoy
scholastic stipend contained in clause(i).
after the contribution had been paid for a minimum of 36 months prior to
natural disaster and his own properties are lost due to the natural
disaster, 40 per cent of average wage of a month within one year before
such day as cash assistance and relief materials provided by Social
Security Board.
(3) Employment Injury Benefit (Section:52)
Employment Injury Benefit
Temporary Disability Benefit
Free medical treatment in addition to temporary disability benefit of 70 per cent of average
wage within four months prior to occupational accident shall be entitled to enjoy
commencing from the date of incapacity for work, to a maximum of 12 months. (Section
#55)
Permanent disability benefit (Section #58)
The person who suffers loss of capacity for work is entitled to permanent disability benefit
calculated based upon 70 per cent of average wage of a month contained in section 57, with
percentage of loss of capacity for work, as specified hereunder
(a) in case of loss of capacity for work is 20 per cent and under, the right to enjoy monthly
cash benefit entitled to such person for five years in lump sum;
(b) loss of capacity for work is from over 20 per cent to 75 per cent, the right to enjoy
monthly cash benefit entitled to such person for seven years in installment or in lump sum
according to the desire of that person;
(c) loss of capacity for work is over 75 per cent, the right to enjoy monthly cash benefit
entitled to such person for nine years in installment, or in lump sum, or in monthly
installment until death according to the desire of that person
if the medical certificate is submitted that permanently disabled person contained in sub-
section (c) requires the constant attendance of another person, the right to enjoy the
supplement of 10 per cent of his benefit in installment, or in lump sum, or in monthly
installment until death according to the desire of that person
Survivors' Benefit for Occupational Decease (Section #62)
based on contribution period according to the average wage
within four months before that insured is deceased
(i) if it is contributed 60 months and under, 30 times of an
average wage for a month;
(ii) if it is contributed over 60 months to 120 months and under,
50 times of an average wage for a month;
(iii) if it is contributed over 120 months to 240 months and under,
60 times of an average wage for a month;
(iv) if it is contributed over 240 months, 80 times of an average
wage for a month;
Invalidity (Section:32,33)
if contribution has been paid for 180 months before permission of medical certificate for invalidity, the
right to enjoy 15 times of average wage of a month obtained by him during the period of such
contribution in installment or in lump sum according to his desire (Section: 33,A.1)
if contribution has been paid for more than 180 months, relating to such period of contribution in
excess, the right to enjoy additional benefit contained in clause (i) in accord with the stipulations;
(Section:33, A.2)
in case where contributions has been paid for 12 months and above but under 180 months, the right to
enjoy 40 per cent of contribution paid by the employer and by that insured together with interest in
accord with the stipulations;
in case where contribution has been paid for less than 12 months, the right to withdraw the money
contributed by that person in lump sum.
When the insured obtains the right to enjoy invalidity benefit, the employer is entitled to obtain 25 per
cent of his contribution for 12 months and above paid to the fund contained in clause (iii) of sub-section
(a) of section 15 together with interest in accord with the stipulations.
Age Limit for Superannuation and Cash Benefit (Section: 35)
if contribution has been paid for 180 months before superannuation, the
right to enjoy 15 times of an average wage of a month for the period
contributed of that insured in installment or in lump sum according to his
desire; (Section:35,A,1)
if contribution has been paid for more than 180 months, relating to such
period of contribution in excess, the right to enjoy additional benefit
contained in clause (i) in accord with the stipulations; (Section:35,A,2)
in case where contribution has been paid for 12 months and above but
under 180 months, the right to enjoy 40 per cent of the contribution paid
by the employer and by that insured together with interest in accord with
the stipulations; (Section:35,A,3)
in case where contribution has been paid for less than 12 months, the
right to withdraw the money contributed by that insured in lump sum.
(Section:35,A,4)
When the insured obtains superannuation benefit, the employer is
entitled to obtain 25 per cent of his personal contribution for 12 months
and above paid to the fund contained in clause (iii) of sub-section (a) of
section 15 together with interest in accord with the stipulations. (Section:
35,B)
Survivors' Benefit for Decease not owing to Employment Injury (Section:36)
When the insured is deceased for any other cause not owing to employment injury
before the age for superannuation
a person nominated by the insured is entitled to enjoy survivors’ benefit which
is the same as the invalidity benefits contained in section 33, (Section:36,a)
If no nominated person: (Section:36,b)
(i) wife or husband of the deceased;
(ii) if there is no wife or husband, children of the deceased;
(iii) if there is no wife, husband and children, mother and father of the deceased;
if there is a person who is entitled to benefits contained in subsections (a) and
(b), the employer is entitled to obtain 25 per cent of contribution for 12
months and above paid by him to the fund for invalidity benefit,
superannuation benefit, and survivors’ benefit together with interest in accord
with the stipulations; (Section: 36,c)
Collective Dispute
Individual Dispute
Factory/ work place
coordination
Factory level committee 3 days Agree
Coordinating body
Township
Conciliation body 7 days
dDecision
(9) The shops & establishment Act (2016)
Purposes
(a) To fix working hours for the workers working in shops and
establishments.
(b) For the workers to receive rightful wages.
(c) To have occupational safety
(d) To protect rights for health
Shop means any premises used wholly or partly for the wholesale or retail sale
of commodities or articles either for cash or on credit or on installment. (hair
dressing, beauty culture, body fitness, goldsmith…. Etc)
(b) hospitals, clinics, shops dealing mainly in medicines, and related appliances. .
(c) Services which provide public with electricity, gas or water supply or with
telecommunication, and the essential services, shops and establishments
exempted by order issued by the ministry.
Working hour
(b ) The total number of hours so worked overtime by such persons shall not
exceed 12 hours for any one week. (2 hr / day x 6 working day)
But, if there is a special matter to do overtime work, it should not
exceed 16 hours for any one week. (2hr 40min / day x 6 working day)
Moreover, overtime work shall not extend beyond the 12 midnight.
(a) No person employed in a shop or establishment shall be required or
permitted to continuously work in such shop or establishment for more than 4
hours any one day unless he/she has been allowed an interval for rest of at
least 30 minutes. Moreover, the period of work and intervals for rest of each
person employed in a shop, commercial establishment or establishment for
public entertainment shall not extend over more than 11 hours in any one
day.
(b) No person who has not attained the age of 16 shall be required to work
overtime exceeding the working hours in any shop, commercial establishment
or establishment for public entertainment.
(a) Any person who has attained the age of 14 but not attained the age of 16
certified by the registered medical practitioner, may be employed to work for not
more than 4 hours in any one day. The periods of work and interval for rest shall
not exceed 5 hours.
(b) Such person shall not be required or allowed to work between 6 pm and 6 am.
(c) Such person who has already worked in a shop or establishment shall not be
required or allowed to work in another shop or establishment in the same day.
(d) No person who has attained the age of 18 shall be required or allowed to
work the prescribed dangerous work or in the dangerous workplace.
(e) The persons who have not attained the age of 18 but already attained the
age of 16, and completed the relevant vocational trainings, and know and
abide by the directives relating to the occupational safety and health, are fit
to work may, certified by the registered medical practitioner, be allowed to
work in the trades which are safe and do not affect the development and
morale of such persons.
Weekly off day
(a) Every shop and establishment shall fix at least a holiday in each week for
the employers, and employee thereof shall be allowed holiday on that day.
(b) No deduction shall be made from his/her wage for his/her being granted
holiday for that day contained in the above sub-section (a).
Pay day
All wages payable to any person employed in any shop or establishment shall
be paid by employer not later than the seventh day of the month immediately
succeeding that in respect of which such wages are payable.
Employer -
(a) shall calculate the wage payable to any person in respect of overtime
work at the rate prescribed in this law.
(b) shall, under the above sub-section (a), not ask any person to work
overtime without providing the calculated overtime wages.
The General Duties of the Workers
Any employer of shop or establishment shall, with the copy of the license
granted and issued by the relevant department and committee, notify to the
concerned inspector under the prescribed conditions before the start of
operation, changing location, changing another type of business or
production, extension of current business or production, changing of
ownership or termination or termination of business and hiring or changing of
staff.
For the purpose of this law, any employer –
(a) shall arrange documents, registers, agreement contract, testimonials,
forms and sample prescribed for the necessary examination of the inspector.
(b) shall, under this law or rule made under this law, produce the registration
book, evidence of employer or the instruments relating to the business when
the inspector asks to do so.
(c )For the purpose of this law, any employer shall display a notice of work
periods in a place where anyone can see easily/ a place easily visible.
(d) Any employer shall inform workers regarding the rights and benefits
entitled to workers.
Occupational Safety and Health
Nothing in this law shall affect any right or privileges to which any person
employed in any shop or establishment is entitled at the date of the
commencement of this law under any other law for the time being in force or
any contract, custom or usage which is in force on that date, if such right or
privilege is more favorable him/her than any other right or privilege
conferred upon him/her by this law.
(10) The Employment of children
(Child Law 1993)
Base on “Child Law-1993”
“Child” means a person who has not attained the age of 16 years;
“Youth” means a person who has attained the age of 16 years but has not
attained the age of 18 years;
Child working status
The Ministry of Labour shall protect and safeguard in accordance with law
to ensure safety of children employees at the place of work and
prevention of infringement and loss of their rights.
Punishment
Objective
to protect the rights of the workers, to have good relations among the
workers or between the employer and the worker,
but does not include the Defense Services personnel, member of the
Myanmar Police Force or member of the armed organizations under the
control of the Defense Services.
Establishment of the Labour
Organizations
Every worker, who has attained the age prescribed in respective existing law
join as a member in a labour organization and to resign from a labour
organization according to their own desire;
join as a member only in a labour organization formed according to the
category of trade or activity relating to them.
Basic Labour Organizations
It can be formed if there is similar basic labour organization more than two.
it shall be recommended by not less than 10 percent of all workers of the
relevant trade or activity;
EC member – 7 upto 15 with odd number
Region or State Labour Organizations