
Lucas Botzen
Founder & Managing Director
Last updated:
October 7, 2025
What is an Employer of Record in Cambodia?
View our Employer of Record servicesAn Employer of Record, or EOR, is a service that helps you hire employees in Cambodia without setting up a local company. The EOR becomes the legal employer for your team on paper. This means they handle all the official employment tasks. You still manage your employees' day-to-day work. An EOR like Rivermate lets you build a team in Cambodia quickly and legally.
How an Employer of Record (EOR) Works in Cambodia
Using an EOR in Cambodia simplifies hiring. The process is straightforward.
- You choose the candidate. You find the talent you want to hire. You also agree on their salary and job duties.
- The EOR drafts a compliant contract. The EOR creates an employment agreement that follows Cambodian labor laws. These contracts are often provided in both Khmer and English.
- The EOR onboards your new hire. They handle all the necessary paperwork. This includes registering the employee with the National Social Security Fund (NSSF) and tax authorities.
- They manage payroll and benefits. The EOR processes monthly salaries, making sure to withhold the correct taxes and social security contributions. They also administer legally required benefits.
- You manage the employee's work. You direct their daily tasks, projects, and performance. The EOR handles the HR and legal side, but you are in charge of the work itself.
Why use an Employer of Record in Cambodia
Using an EOR in Cambodia is a smart move for companies that want to expand without the headache of setting up a legal entity. It saves you time and money.
Here are some key reasons to use an EOR:
- Enter the market faster. You can hire employees and start operations in a few days. Setting up a company in Cambodia can take weeks or even months.
- Reduce costs. You avoid the high fees associated with company registration, which can be over USD 50,000.
- Ensure legal compliance. Cambodian labor laws can be complex. An EOR has local experts who understand the rules. This helps you avoid fines and legal issues.
- Simplify HR and payroll. The EOR takes care of payroll, taxes, and benefits. This frees you up to focus on growing your business.
- Gain flexibility. An EOR allows you to test the Cambodian market. You can easily scale your team up or down as your business needs change.
Responsibilities of an Employer of Record
As an Employer of Record in Cambodia, Rivermate is responsible for:
- Creating and managing the employment contracts
- Running the monthly payroll
- Providing local and global benefits
- Ensuring 100% local compliance
- Providing local HR support
Responsibilities of the company that hires the employee
As the company that hires the employee through the Employer of Record, you are responsible for:
- Day-to-day management of the employee
- Work assignments
- Performance management
- Training and development
Costs of using an Employer of Record in Cambodia
Rivermate's transparent pricing model eliminates complexity with a single, competitive monthly fee per employee. Unlike traditional PEO providers, our pricing in Cambodia includes comprehensive HR support, benefits administration, compliance management, and access to our proprietary dashboard for real-time workforce analytics. No hidden costs, no setup fees—just straightforward pricing that scales with your business needs while ensuring full legal compliance in Cambodia.
Employ top talent in Cambodia through our Employer of Record service
Book a call with our EOR experts to learn more about how we can help you in Cambodia







Book a call with our EOR experts to learn more about how we can help you in Cambodia.
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Hiring in Cambodia
Hiring in Cambodia is a smart move for many businesses. The country has a growing economy and a young, motivated workforce. But, before you start, it's important to understand the local labor laws. This will help you hire in a compliant way and build a strong team.
Employment contracts & must-have clauses
When you hire an employee in Cambodia, you need a clear employment contract. The contract can be for a fixed period of time or for an indefinite period. Fixed-term contracts must be in writing and cannot be for more than two years.
Your employment contracts should be in the Khmer language. Make sure to include these key details:
- Employee's and employer's full details
- Job title and a clear description of the work
- The start date and length of the contract
- Salary and how often it will be paid
- Working hours
- Information on leave, like annual holidays and sick leave
- The notice period for ending the contract
Probation periods
In Cambodia, you can have a probation period to see if a new employee is a good fit. The length of the probation period depends on the type of job:
Employee Type | Maximum Probation Period |
---|---|
Regular employees | 3 months |
Specialized workers | 2 months |
Unskilled workers | 1 month |
During the probation period, either you or the employee can end the employment contract without giving notice.
Working hours & overtime
The standard work week in Cambodia is 48 hours, with a maximum of 8 hours per day. Employees should have at least one full day off each week, which is usually a Sunday.
If you need your employees to work more than the standard hours, this is considered overtime. You can't force an employee to work overtime. Overtime is generally limited to two hours per day. You must pay a higher rate for overtime hours:
- Daytime overtime: 150% of the normal hourly rate
- Nighttime overtime (10 p.m. to 5 a.m.) or on a day off: 200% of the normal hourly rate
Public & regional holidays
Cambodia has a number of public holidays each year. In 2025, there will be 22 paid public holidays. If an employee has to work on a public holiday, you must pay them double their usual daily wage.
Here are some of the key public holidays for 2025:
- January 1: International New Year's Day
- January 7: Victory Day over Genocide
- March 8: International Women's Day
- April 14-16: Khmer New Year
- May 1: International Labour Day
- May 14: King Norodom Sihamoni's Birthday
- September 21-23: Pchum Ben Day
- September 24: Constitution Day
- November 5-7: Water Festival
- November 9: Independence Day
Hiring contractors in Cambodia
Hiring independent contractors can be a flexible way to get specific skills for your business. It can be a good option for short-term projects. However, it's important to get the relationship right to avoid legal problems.
An independent contractor is someone who works for themselves. They are not your employee. This means they control their own work, use their own tools, and can work for other clients. You pay them for the project, not a regular salary.
The biggest risk with hiring contractors is misclassification. This is when a worker is treated like an employee but is classified as a contractor. If a court decides a contractor is actually an employee, you could face serious consequences. These can include fines, back payment of taxes, and having to provide employee benefits.
An Employer of Record (EOR) can help you avoid these risks. An EOR can legally hire employees on your behalf in Cambodia. This means you don't have to worry about local labor laws, payroll, taxes, or benefits. The EOR takes on the legal responsibility as the employer, so you can focus on managing your team and growing your business.

Compensation and Payroll in Cambodia
Navigating compensation and payroll in Cambodia requires a clear understanding of local regulations. You need to follow specific rules for paying your team, covering everything from how often you pay them to the taxes you withhold. Staying compliant is key to building a successful team in the country. This guide breaks down what you need to know about payroll in Cambodia.
Payroll cycles & wage structure
In Cambodia, you generally pay your employees monthly. Your employee's pay includes their basic salary, plus any allowances, overtime, and other benefits. You should provide written employment contracts that clearly state all terms of employment, including salary and working hours. While not required, it's a good practice to have contracts in Khmer, the local language, to ensure clarity.
Overtime & minimums
The standard work week in Cambodia is 48 hours, with a maximum of eight hours per day and a six-day work week. Any work beyond these hours is overtime.
- Overtime Pay: You must pay employees 1.5 times their normal wage for overtime.
- Night Work: Work done between 10 p.m. and 5 a.m. is paid at 130% of the regular rate.
- Holiday & Sunday Pay: If an employee works on a public holiday or a Sunday, you must pay them double their regular wage.
- Minimum Wage: The minimum wage varies by industry. For example, in the garment, textile, and footwear industries, the minimum wage is $200 per month.
Employer taxes and contributions
As an employer in Cambodia, you are responsible for several contributions.
Contribution | Rate |
---|---|
Corporate Income Tax | 20% |
Social Security (NSSF) | 3.4% of gross salary |
Occupational Risk & Healthcare | 2.6% of gross salary |
Pension | 2% |
Employee taxes and deductions
You must withhold taxes and social security contributions from your employees' salaries. Cambodia has a progressive income tax system.
Contribution | Rate |
---|---|
Social Security (NSSF) | 2% of gross salary |
Pension | 2% |
Here are the progressive tax rates for residents:
Monthly Salary (KHR) | Tax Rate |
---|---|
0 - 1,300,000 | 0% |
1,300,001 - 2,000,000 | 5% |
2,000,001 - 8,500,000 | 10% |
8,500,001 - 12,500,000 | 15% |
Over 12,500,000 | 20% |
How an Employer of Record, like Rivermate can help with payroll taxes and compliance in Cambodia
An Employer of Record (EOR) manages monthly payroll calculations, employer contributions, and tax filings in-country on your behalf. Rivermate handles registrations, payslips, statutory reporting, and remittances to authorities so you stay compliant with local rules and deadlines—without setting up a local entity. Our specialists monitor regulatory changes and ensure correct rates, thresholds, and caps are applied to every payroll cycle.
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Benefits and Leave in Cambodia
In Cambodia, you'll find a system of employee benefits and leave guided by the country's Labor Law. This framework provides a solid foundation of mandatory benefits for all employees. It also allows you the flexibility to offer extra perks to attract and keep great talent. Understanding both the required and optional benefits is key to building a competitive and compliant compensation package.
Statutory leave
Cambodian law sets minimum standards for employee leave.
- Annual Leave: After one year of continuous work, your employees get 18 days of paid annual leave. This works out to 1.5 days for each month of service. The amount of leave increases by one day for every three years of service.
- Sick Leave: Employees can take up to six months of sick leave if they provide a medical certificate. You pay their full salary for the first month of leave. For the second and third months, you pay 60% of their salary. Any sick leave beyond three months is unpaid.
- Maternity Leave: Female employees who have worked for you for at least one year receive 90 days of maternity leave. During this time, you pay 50% of their regular salary.
- Special Leave: The law allows for special leave for events like marriage or a death in the immediate family, but this leave is typically unpaid.
Public holidays & regional holidays
Your employees are entitled to paid time off for all official public holidays. The government announces the official list each year. If a holiday falls on a Sunday, the following Monday is a day off.
Holiday | Date |
---|---|
International New Year's Day | January 1 |
Victory over Genocide Day | January 7 |
International Women's Day | March 8 |
Khmer New Year | April 14-16 |
International Labor Day | May 1 |
Visak Bochea Day | May 11 |
King Norodom Sihamoni's Birthday | May 14 |
Royal Plowing Ceremony | May 15 |
King's Mother's Birthday | June 18 |
Pchum Ben Day | September 21-23 |
Constitutional Day | September 24 |
Typical supplemental benefits
You can separate benefits into two categories: those required by law and those you can offer to create a more attractive workplace.
Statutory Benefits | Non-Statutory (Supplemental) Benefits |
---|---|
Minimum Wage | Private health, dental, or vision insurance |
Paid Annual Leave | Performance bonuses |
Paid Sick Leave | Allowances for meals or transportation |
Paid Public Holidays | Paternity leave |
Maternity Leave | Additional paid time off |
13th Month Salary | Home office allowance |
National Social Security Fund (NSSF) |
How an EOR can help with setting up benefits
Setting up employee benefits in a new country can be complex. You have to navigate unfamiliar labor laws and cultural expectations. An Employer of Record (EOR) simplifies this entire process for you.
An EOR acts as the legal employer for your team in Cambodia. We handle all the administrative tasks, including:
- Ensuring your benefits package complies with all local laws.
- Enrolling your employees in the mandatory National Social Security Fund.
- Managing payroll and leave administration accurately.
- Offering competitive supplemental benefits to attract top talent.
By using an EOR, you can build a team in Cambodia quickly and confidently. You get the peace of mind that comes from knowing your benefits and payroll are handled correctly, letting you focus on growing your business.
How an Employer of Record, like Rivermate can help with local benefits in Cambodia
Rivermate provides compliant, locally competitive benefits—such as health insurance, pension, and statutory coverages—integrated into one EOR platform. We administer enrollments, manage renewals, and ensure contributions and withholdings meet country requirements so your team receives the right benefits without added overhead.
Termination and Offboarding in Cambodia
Let's walk through what terminating and offboarding an employee in Cambodia involves. The process is quite structured, with specific rules you need to follow. These rules depend on the type of employment contract in place. The two main types are Fixed Duration Contracts (FDC) and Undetermined Duration Contracts (UDC). For any termination, you must notify the Ministry of Labor and Vocational Training (MLVT) within 15 days of the employee's last day.
Notice Periods
When you decide to end an employment contract, you must give the employee advance notice. The length of this notice period changes based on the contract type and how long the employee has worked with you.
For Undetermined Duration Contracts (UDC), the notice periods are:
- 7 days for employees who have worked less than 6 months.
- 15 days for employees who have worked from 6 months to 2 years.
- 1 month for employees who have worked from 2 to 5 years.
- 2 months for employees who have worked from 5 to 10 years.
- 3 months for employees who have worked more than 10 years.
For Fixed Duration Contracts (FDC), the notice requirements are different:
- No notice is needed if the contract is for 6 months or less.
- 10 days' notice is required for contracts longer than 6 months but up to 1 year.
- 15 days' notice is required for contracts longer than 1 year.
If you don't provide the correct notice, the FDC might automatically extend or even become a UDC. During the notice period, employees on a UDC are entitled to two paid days off per week to look for a new job.
Severance Pay
Severance pay is also handled differently depending on the contract.
For Fixed Duration Contracts (FDC), employees receive a severance payment of at least 5% of the total wages they earned during the contract.
For Undetermined Duration Contracts (UDC), employees are entitled to a seniority payment. This amounts to 15 days of wages and benefits for each year of service.
How Rivermate handles compliant exits
Navigating employee terminations and offboarding in another country can be complex. We make sure every step is handled correctly and in compliance with Cambodian labor law.
Here’s how we manage the process for you:
- Contract Review: We start by reviewing the employee’s contract to determine the correct notice period and severance pay calculations.
- Clear Communication: We prepare all necessary documentation, including the written termination notice, ensuring it meets legal requirements.
- Final Payments: We calculate and process all final payments, including unpaid salary, accrued vacation, and any severance or seniority pay due. We make sure these payments are made within 48 hours of termination.
- Ministry Notification: We handle the required notification to the Ministry of Labour and Vocational Training (MLVT) to keep everything compliant.
- Guidance and Support: We provide you with clear guidance throughout the process, so you understand your obligations and can make informed decisions.
By managing these critical steps, we help you offboard employees smoothly and respectfully, while protecting you from legal risks.
Visa and work permits in Cambodia
Navigating Cambodia's visa and work permit system is straightforward when you understand the process. For anyone looking to work in the country, securing the correct visa and work permit is essential. The primary visa for foreign workers is the E-class visa, which you can get on arrival or from a Cambodian embassy. This initial visa is valid for 30 days. To work legally, you must extend it to an EB visa and get a work permit and employment card from the Ministry of Labor and Vocational Training (MLVT). Your employer is responsible for handling the work permit application.
Employment visas & sponsorship realities
An Employer of Record (EOR) can sponsor work permits for foreign employees in Cambodia. To do this, the EOR must be a legally registered entity in the country and be registered with the MLVT. This is the most common way for companies to hire full-time foreign talent in Cambodia.
However, there are important limitations to consider. Cambodia has a foreign employee quota system. This means that foreign workers can only make up a certain percentage of a company's total workforce. The standard quota allows for up to 10% of the workforce to be foreign, broken down into specific categories:
- 3% for office staff
- 6% for skilled labor
- 1% for unskilled labor
If a company needs to hire more foreign workers than the quota allows, it must get special approval from the MLVT. This is a key factor that can affect an EOR's ability to sponsor a visa.
The work permit application process requires documents from both the employer and the employee.
Employer Requirements | Employee Requirements |
---|---|
Certificate of Incorporation | Valid passport |
Patent Tax Certificate | Health certificate |
4x6 cm photograph | |
Signed employment contract | |
Proof of residence |
The processing time for a work permit is typically between 10 to 30 business days.
Business travel compliance
For short-term business trips, you can enter Cambodia with an E-class visa, which is valid for 30 days. This visa is suitable for activities like attending meetings, conferences, or exploring business opportunities. You can obtain this visa upon arrival at major airports or in advance through a Cambodian embassy or the official e-Visa portal. It's important to remember that you cannot legally work in Cambodia on a tourist visa. If your stay extends beyond 30 days or your activities involve formal employment, you will need to extend your E-class visa to an EB visa and secure a work permit.
How an Employer of Record, like Rivermate can help with work permits in Cambodia
Navigating work permits can be complex and time‑sensitive. Rivermate coordinates the entire process end‑to‑end: determining the right visa category, preparing employer and employee documentation, liaising with local authorities, and ensuring full compliance with country‑specific rules. Our in‑country experts accelerate timelines, minimize refusals, and keep you updated on each milestone so your hire can start on time—legally and confidently.
Frequently asked questions about EOR in Cambodia
About the author

Lucas Botzen
Lucas Botzen is the founder of Rivermate, a global HR platform specializing in international payroll, compliance, and benefits management for remote companies. He previously co-founded and successfully exited Boloo, scaling it to over €2 million in annual revenue. Lucas is passionate about technology, automation, and remote work, advocating for innovative digital solutions that streamline global employment.