Myanmar

Understanding market competitive salaries in Myanmar requires considering various factors that influence an individual's compensation. Here's a breakdown of key aspects to consider:

National Salary Landscape

Myanmar's salary landscape is evolving, with significant variations depending on factors like:

• Job Role: Specific professions have established salary ranges. For instance, Marketing Managers in Myanmar can expect an average gross salary of 1.0 Million MMK (Myanmar Kyat) to 2.0 Million MMK, with the 10th percentile earning around 400,000 MMK and the 90th percentile reaching 2.5 Million MMK.

• Experience: Salaries tend to increase with experience. Entry-level positions naturally offer lower compensation compared to senior roles.

Geographic Considerations

Location significantly impacts salary expectations. Yangon, the commercial capital, typically offers higher salaries compared to other regions.

Industry Trends

Certain industries, like finance, technology, and telecommunications, may offer more competitive salaries compared to others.

Company Size and Reputation

Larger, multinational corporations or established local companies often have the resources to offer competitive salaries and benefits packages.

Cost of Living

Yangon generally has a higher cost of living compared to other areas. Considering living expenses helps determine a competitive salary that meets your needs.

Resources for Researching Competitive Salaries in Myanmar

• Paylab offers salary information for various positions across Myanmar.
• JobNet Salary Survey provides insights into compensation trends and benefits across industries.
• Industry-Specific Reports: Industry associations or publications may release reports with salary benchmarks for specific professions.

Myanmar has a legal framework that sets minimum wage standards for employees. The foundation for these regulations is the Minimum Wage Law (2013), which mandates that employers cannot pay their workers less than the stipulated minimum wage.

The Minimum Wage Law (2013)

This law establishes a National Committee for Setting the Minimum Wage. This committee is responsible for determining and periodically reviewing the minimum wage rates.

Current Minimum Wage Levels (as of October 1, 2023)

There are two minimum wage rates based on employer size:

• Employers with more than 10 employees: Workers are entitled to a minimum daily wage of MMK 5,800 (approximately USD 2.77). This translates to an hourly minimum wage of MMK 600 assuming an eight-hour workday.
• Employers with 10 or fewer employees: There is currently no separate minimum wage set for this category. However, they are still subject to the general provisions of the Minimum Wage Law (2013), which implies they cannot pay less than the established minimum for larger employers.

It's advisable to consult the latest notifications issued by the Ministry of Planning and Finance for any updates to the minimum wage rates.

Minimum Wage Applicability

The minimum wage applies to all sectors except for:

• Members of the armed forces
• Police personnel
• Firefighters
• Prison officers
• Domestic workers in private households

Enforcement

The Ministry of Labour, Immigration and Population is responsible for enforcing the Minimum Wage Law (2013). Employees who believe they are not receiving the minimum wage can file complaints with the Ministry.

In Myanmar, many companies offer additional financial incentives to attract and retain talent. These incentives often come in the form of bonuses and allowances.

Performance-Based Bonuses

Performance bonuses reward employees for exceeding targets or demonstrating exceptional performance. The structure and calculation methods vary depending on the company and role.

Allowances

Several types of allowances are common in Myanmar:

• Housing allowance: Companies, particularly in Yangon with a higher cost of living, may offer housing allowances to help offset accommodation expenses.
• Transportation allowance: To assist with commuting costs, some companies provide transportation allowances or offer subsidized transportation services.
• Meal allowance: This allowance helps cover the cost of daily meals during work hours.

Other Potential Benefits

There are also other potential benefits that companies may offer:

• 13th Month Salary: A popular practice in Myanmar is the 13th-month bonus, essentially an extra month's salary paid annually, often around holidays.
• Health insurance: Some companies may offer health insurance plans for employees and their dependents. However, it's not a mandatory benefit.

In Myanmar, payroll cycles are subject to specific regulations and can vary based on the size and industry of the company.

Legal Requirements

According to the Myanmar Factories and Workshop Act (1951), there are some basic requirements for payroll cycles:

• Maximum Delay: Employers with less than 100 employees must pay salaries no later than the end of the pay period. This implies some flexibility for larger companies.
• Note: While there's no explicit legal mandate for a specific pay cycle (e.g., monthly), ensuring timely payment within the designated pay period is crucial.

Common Payroll Cycles

In practice, companies in Myanmar typically follow these payroll cycles:

• Monthly: The most prevalent payroll cycle, with salaries calculated and paid monthly.
• Bi-weekly (every two weeks): Less common but found in some sectors, particularly for daily or hourly wage earners.
• Daily: Rare, but some casual or daily wage workers might receive daily payments.

Payment Methods

The Myanmar Payment System Law (2018) promotes electronic payments. However, traditional methods persist:

• Cash: A common method, especially for smaller companies or those in rural areas.
• Cheque: Still used by some companies, although electronic transfers are gaining traction.
• Bank Transfer: Becoming increasingly popular due to convenience and security benefits.

The chosen method often depends on company infrastructure, employee preferences, and regional banking accessibility.