Myanmar has made important amendments to its minimum wage framework by increasing the minimum compensation for workers in both the public and private sectors.
Background
In May 2018, the National Committee for Setting the Minimum Wage determined that all workers in Myanmar should receive a minimum wage of MMK 4,800 per day (approx. USD 2.29), equivalent to MMK 600 per hour for an eight-hour workday. This rule applied to all workers, without differentiation in location or job.
Government Workers and Organizations
In September 2023, the Ministry of Planning and Finance announced that daily workers in government departments and organizations are entitled to receive an additional benefit of MMK 1,000 on top of their existing daily wage, which was already MMK 4,800. Consequently, they could earn a total of MMK 5,800 per day for eight hours of work.
Private-Sector Workers
On October 9, 2023, the national committee announced an increase of minimum wages for employees in the private sector. According to Notification No. 2/2023, workers at private-sector employers with more than 10 employees are now entitled to a minimum wage of MMK 5,800 per day (approx. USD 2.77)—an increase of MMK 1,000 per eight-hour workday over the previous minimum wage. The changes took effect on October 1, 2023.
For more details about these changes, or any aspect of employee compensation or employment law in Myanmar, please contact Tilleke & Gibbins at myanmar@tilleke.com.
For further information, please contact:
Kyaw Min Tun, Tilleke & Gibbins
kyawmintun@tilleke.com
