The National Committee for setting the Minimum Wage issued Notification 2/2018 establishing an increased daily minimum wage of MMK 4,800 (approximately USD 3.60), for an eight-hour workday. The increased minimum wage does not apply to small businesses with less than 10 workers and family businesses.
Notification 2/2018 replaces Notification 2/2015 which establish the last daily minimum wage of MMK 3,600 (approximately USD 2.70). Setting the minimum wage in 2015 followed a process established by the 2013 Minimum Wage Law and Rules. The process involves numerous meetings and discussions among the relevant national, regional and state committees, along with employer and employee organizations, workshops, and other consultations. The previous minimum wage of MMK 3,600 per day did not apply to small businesses with less than 15 employees and family businesses.
Initially announced as a proposal in January 2018, an increased minimum wage has been discussed in the manner required by the 2013 Minimum Wage Law during the months since. Employer and employee organizations have submitted their inputs, ultimately leading to the issuance of Notification 2/2018, which sets a minimum wage applicable uniformly throughout the country, regardless of the work type or location.
Notification 2/2018 is effective from its issuance date of 14 May 2018.
Contact
Danyel Thomson
Head of Regional Employment Practice Group
danyel.thomson@dfdl.com
The information provided here is for information purposes only and is not intended to constitute legal advice. Legal advice should be obtained from qualified legal counsel for all specific situations.
