Myanmar has been experiencing rapid growth since it opened up in the 2000s, with its GDP growth rate among the highest in Asia. Since 2011, the government has initiated economic reforms to attract foreign investment and reintegration into the global economy.

Payroll Frequency
Employer Taxes
25% in general


Myanmar Kat (MMK)
Date format



If applicable, both employer and employee must make mandatory contributions to the Social Security Fund (SSF). Employers must withhold employess contributions from the employess pay.

Benefit Contribution Level
  • Medical Care
  • Funeral Grant
  • Sickness cash benefit
  • Maternity cash benefit
  • Paternity cash benefit
“Health and Social Care Fund”

  • if the insured person is less than 60 years old at registration: employee 2%; employer 2%
  • if the insured person is 60 years or older at registration: employee 2.5%; employer 2.5%
  • Work Injury
“Employment injury Fund”
Employer: 1%(Note: can go up to 1.5% as a sanction in case of repeated work injuries)

Employee Provident Fund: Some companies voluntarily provide this benefit to employees. The provident fund is available to all permanent employees. It allows employees to contribute at least 3% of their income (as decided in the official contract) into the fund, and it is released on the date of the individual’s retirement.

Income Taxes

Minimum Wage


Minimum wage is MMK 4800 per day for all organizations. The minimum wage is to be revised every two years.


Payroll Cycle

Payment of Salary

  • Sec. 4 Payment of Wages Law (2016) provides, that an employer shall, in case of hourly, daily, weekly job or a job of any other time interval, or temporary job or piece-job, disburse remuneration for such job to the employee upon completion of the job or at any time period agreed with the employee; the period of time agreed between the employer and employee shall, however, not exceed one (1) month
  • Salaries for permanent employees shall be disbursed monthly:
  • If the workforce does not exceed 100 employees, remuneration shall be disbursed on the end date of the period of remuneration:
  • If the workforce exceeds 100 employees, remuneration shall be disbursed within five (5) days of the end of the period of remuneration
  • In case of termination by the employer, the remuneration payable shall be paid within two (2) business days from the termination date
  • In case of voluntary resignation by the employee, payment shall be made on the end date of the period of remuneration
  • In case of death of an employee, the remuneration shall be paid to the legal inheritor within two (2) business days from the date of such decease
13th Salary

Working Hours


48 hours/week or 8 hours/day


Maximum of 12 hours/week of overtime work.

Leave & Public Holidays

Paid Time Off

Annual leave. A minimum of 10 annual leave days (paid leave) per year shall be provided. The employee must complete 12 consecutive months of service with a minimum of 20 working days in each month to enjoy the annual leave days in that same year, otherwise the number of annual leave days can be reduced on a pro-rata basis.

Public Holidays

Myanmar has 25 public holidays per year:

Sick Days

Maternity / Paternity Leave

Maternity Leave

Employees are entitled to 14 weeks of paid maternity leave, to be taken six (6) weeks before confinement and eight (8) weeks after confinement.Employees covered by the Social Security Law are entitled to similar 14 weeks of maternity leave, but may further enjoy additional four (4) weeks in case of twins or up to six (6) weeks in case of a miscarriage. Theoretically, employees covered by the Social Security Law may receive part of their salary from the Social Security Fund, but in practice, such maternity leave is often also granted as paid leave.

Paternity Leave

Male employees covered by the Social Security law may enjoy 15 days of paternity leave after confinement of their wives.

Parental Leave
Other Leave

Sick Leave:

Employees are entitled to 30 days of paid medical leave per year, provided that they have completed six months of service. Employees covered by the Social Security Law are entitled to additional leave if certain work injuries are apart from the 30 days of paid medical leave.


Termination Process

Termination by employer

Termination of an employee shall be done in writing and signed by both employer and employee. The employer should keep records of the termination papers and indicate reasons for the termination, so as to safeguard their rights in the event an employee challenges the termination or brings a claim against the employer. Termination by notice
The employer may terminate an employee by giving 1 months’ notice and severance payment (according to statutory requirement), provided the employee is not terminated pursuant to misconduct or contravention of any laws or regulations.


Severance payment

Employees terminated by notice or with payment in lieu of notice shall be entitled to severance payment as follows:

Term of Employment Severance Amount

 Less than 6 months  No severance payment
 6 months to 1 year  0.5 month’s salar
 1 – 2 years  1 month’s salary
 2 – 3 years  1.5 months’ salary
 3 – 4 years  3 months’ salary
 4 – 6 years  4 months’ salary
 6 – 8 years  5 months’ salary
 8 – 10 years  6 months’ salary
 10 – 20 years  8 months’ salary
 20 – 25 years  10 months’ salary
 More than 25 years  13 months’ salary


Notice Period
Severance Pay
Probation Period



To work in Myanmar, foreign workers need to get a 70-day single-entry business visa. This costs USD50. Foreign employees who have obtained at least two 70-day single-entry business visas can apply for a multiple-entry visa (which is valid for 3 [costs USD 200] or six months [costs USD 400] or one year [costs USD 600]). Foreign Registration Certificate should be obtained by foreign nationals who wish to work in Myanmar for more than 90 days continuously.



There is no VAT or value-added tax, but a commercial tax is levied on goods and services. A specific goods tax (SGT) is imposed on specific interests. The commercial tax rate generally is 5% and is payable on services, imports, exports, and goods manufactured within the country. The SGT rates range between 5% to 120%

Date of Updates


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