What Myanmar law says
The Employment & Skills Development Law (ESDL) 2013 protects probationers with a 2-week notice rule. The employer cannot terminate a probationer summarily — without notice or without pay in lieu — except for documented gross misconduct (theft, violence, fraud, serious breach of duty). Saying "we don't think it's working out" is a valid reason to end probation, but only with the 2-week notice or 2 weeks pay in lieu. The same rule applies in reverse: the employee can resign during probation with 2 weeks notice.
What employers must do
- Issue a written termination letter citing the 2-week notice or pay in lieu.
- State the last working day clearly.
- Run final settlement: outstanding wages + leave encashment + 2 weeks pay in lieu (if elected) within 7 days of last working day.
- Issue the relieving letter and experience letter.
- Deregister the employee from the SSB within 30 days.
Notice rules during probation
| Scenario | Notice required | Severance |
|---|---|---|
| Standard probation termination (employer) | 2 weeks (or pay in lieu) | None |
| Probation resignation (employee) | 2 weeks | None |
| Gross misconduct (theft, violence, etc.) | None — summary dismissal | None |
| Mutual separation | As agreed in the separation letter | As agreed |
What if there's a dispute
- Township labour office first — the probationer files a complaint that no notice was given.
- Conciliation Body — formal conciliation; common outcome is back-pay of the 2-week notice.
- Arbitration Council — final binding step. Statute of limitations: typically 6 months.
Employer takeaway
Probation is not "at-will" in Myanmar. Always issue 2 weeks notice or 2 weeks pay in lieu when terminating a probationer. Run final settlement (wages + leave encashment + notice pay) within 7 days of the last working day. Skip notice only for documented gross misconduct, and even then, keep the evidence on file for 7 years in case of challenge.
Edge cases and unenforceable clauses
- "At-will" clauses — not enforceable; they are overridden by the ESDL 2-week notice rule.
- Gross misconduct without documentation — risks reclassification as termination without lawful grounds.
- Withholding wages pending exit clearance — illegal under the Payment of Wages Law.
- See maximum probation period and termination without lawful grounds.
Common probation-termination mistakes
- Walking the probationer out the door same-day with no pay in lieu.
- Issuing the termination letter in English only.
- Forgetting to encash unused annual leave.
- Skipping the SSB deregistration within 30 days — see exit clearance process.
We publish practical, legally-grounded HR guidance for Myanmar employers. Each piece is reviewed by our compliance team against current MLIP and Labor Law requirements.