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New Minimum Wage

New Minimum Wage

January 29, 2018

The National Minimum Wage Determination Committee issued Notification 2/2015 on 28 August 2015 in which the Stipulation of Minimum Wage was announced at MMK3,600 (US$2.80) per day, calculated at a rate of MMK450 (US$0.35) per hour.

Due to the increasing cost of living as well as country development, workers in Myanmar have been requesting an increase in the minimum wage. The National Committee for Designating Minimum Wage for Myanmar Employees was formed on 16 February 2017 in order to formulate processes and policies to designate the minimum wage.

On 2 January 2018, the National Committee for Designating Minimum Wage set the basic daily salary of workers at MMK4,800 or MMK600 per hour; however, this increase is still up for discussion. According to the announcement, persons and organizations with objections or comments on the proposed minimum wage can use the Form provided for objection to the proposed minimum wage, which is to be submitted to the Union Territory Committee and the Region or State Committee for Minimum Wage within two weeks of the announcement date. Thereafter, the committees will have to review all comments within 30 days of the submission date and subsequently submit them to the National Committee.

The National Committee will then review all proposals for objection or amendment through consultation with the representatives of the Government as well as employers and employees within 60 days from the date of the public announcement of the proposed minimum wage. Thereafter, the minimum wage for the employees will be confirmed with the approval of the Government.