Minimum Wage Increase

In Myanmar, the National Committee for Setting the Minimum Wage issued Notification 2/2018, establishing an increased daily minimum wage of MMK 4,800 (USD 3.16: GBP 2.50: Euro 2.75) for an 8-hour workday. The increased minimum wage does not apply to small businesses with fewer than 10 workers and family businesses.

Notification 2/2018 replaces Notification 2/2015, which established the last daily minimum wage of MMK 3,600. The setting of the minimum wage in 2015 adhered to the 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 fewer than 15 employees and family businesses.

Notification 2/2018 took effect May 14, 2018.

Comment

Initially proposed in January 2018, an increased minimum wage has been discussed in the manner required by the 2013 Minimum Wage Law and Rules in the months since then. Employer and employee organizations submitted their input, ultimately leading to Notification 2/2018 being issued. This sets a uniform minimum wage throughout the country, regardless of work type or location.

Written by Danyel Thomson of DFDL and Roger James of Ogletree Deakins