Myanmar: New Leave and Holidays Rules 2018

New legislation was affirmed in late 2018 that introduced a number of improvements to employee protections. The Ministry of Labor, Immigration, and Population (MOLIP) announced new leave and holiday rules, and there was also separate legislation–the Shop and Establishment Rules—that impacted employers in that sector.

Leave and Holiday Rules 2018

The Leave and Holidays Rules 2018 (LH Rules) provide, among other things, definitions of casual leave, medical leave, maternity leave, and leave for all workers. Furthermore, the LH Rules provide details for using leave, weekly rest days, and public holidays.

Some key points provided in the LH Rules are as follows:

• The rules impose a responsibility on employers to report, within 24 hours before the work commences, to the related authority or inspector if he or she intends to ask his or her daily wage workers and piece-workers to work during weekly rest days or any public holiday.
• The rules permit replacement of a rest day if an employee is asked to work on a normal weekly rest day of a week.
• According to the rules, every employee is entitled to casual leave, medical leave, and maternity leave during the probationary period and training period. If the working period is less than 12 months, the respective leave entitlement shall be calculated on a prorated basis for the year.
• If an employee takes several consecutive days of leave when any public holiday falls within the leave period, that public holiday shall be deemed as a leave day under the rules. Nevertheless, the employee is entitled to take leave consecutively before or after the public holidays, in which case the public holiday shall not be deemed as a leave day.
• The rules prohibit employers from dismissing, reducing the salary, changing the employee’s position, or moving the employee to another workplace on the grounds that the employee takes maternity leave or medical leave.
• The rules entitles an employee to one day of paid casual leave after two months of his or her service. However, the employee will be allowed to take casual leave for valid reasons even though the employee has not completed two months’ service.
• In the case of donating blood, every employee is entitled to medical leave.
• If a female employee is not covered under the Social Security Law, the rules entitle her to leave of up to a maximum of six weeks in the case of a miscarriage.
• If an employer leases his or her business to any individual or organization, such an individual or organization shall be responsible under the rules to provide the rights granted under the law or the rules.
• The rules include a new method of calculation of double wages for continuous employees who are asked to work on public holidays.

Shops and Establishment Rules 2018

The Shops and Establishments Rules (“SE Rules”) highlight that employers must disclose compliance to the department regarding the following:

1. Notice for a newly opened shop or establishment within 10 days of commencement;
2. Notice for moving of operation place, changing the type of business, expanding the business, changing or appointing the business owner, and any changes to employment matters;
3. Notice for temporary or permanent shutdown of a business;
4. Notice for simultaneous working times of all employees;
5. Notice for different working times between the employees, such as shifts or rotations;
6. Notice for overtime payment; and
7. Application to obtain approval in order to open any shop or establishment for 24 hours per day seven days prior to opening.

The SE Rules prescribe various deadlines and forms for each filing and require employers to keep all records relating to employment for at least 12 months.

Shops and establishments that have more than 15 employees, except those that open for 24 hours per day with the approval of the department, that wish to operate beyond the maximum working hours must obtain prior approval from the department through the relevant inspector.

Comment

The new rules aim to increase protection for employees while providing clarity for employers on their compliance obligations.

Written by William D. Greenlee, Jr. of DFDL and Roger James of Ogletree Deakins

© 2018 DFDL and Ogletree, Deakins, Nash, Smoak and Stewart, P.C.