What Myanmar law says
Leave entitlements are identical for factory workers and office workers in Myanmar — 10 days annual leave (after 12 months), 6 days casual leave, 30 days sick leave (after 6 months), 14 weeks maternity, ~15 days paternity (SSB), and ~21 paid public holidays. The Leave and Holidays Act sets the floor; both sub-statutes incorporate it.
What differs is the workplace regime. The Factories Act 1951 applies to factories; the Shops and Establishments Act applies to offices, retail, restaurants, and hospitality. Each adds workplace-specific rules around working hours, rest, women-on-night-shift restrictions, and inspection — but not the leave entitlements themselves.
Side-by-side comparison
| Aspect | Factory worker (Factories Act 1951) | Office worker (Shops and Establishments Act) |
|---|---|---|
| Annual leave | 10 days/year after 12 months | 10 days/year after 12 months |
| Casual leave | 6 days/year | 6 days/year |
| Sick leave | 30 days/year after 6 months | 30 days/year after 6 months |
| Maternity | 14 weeks | 14 weeks |
| Paternity | ~15 days (SSB IPs) | ~15 days (SSB IPs) |
| Public holidays | ~21 gazetted | ~21 gazetted |
| Holiday-rate pay | 3× basic | 3× basic |
| Weekly cap | 48 hours | 44 hours |
| Daily cap | 8 hours + OT | 8 hours + OT |
| Weekly rest day | 1 day mandatory (default Sunday) | 1 day mandatory |
| Lunch break | 30 min after 5 hours | Similar provision |
| OT rate | 2× weekday/weekend; 3× holiday | 2× weekday/weekend; 3× holiday |
| Women on night shifts | Restricted (10 PM – 5 AM) | No equivalent restriction by default |
| Minor work limits | Stricter (16 minimum for hazardous) | Standard limits |
| Inspection regime | Township labour office (factories) | Township labour office (shops) |
| Records retention | ≥ 7 years | ≥ 7 years |
Why the distinction matters
- Inspection focus. Factory inspectors look at OT logs and night-shift authorisations more rigorously than office inspectors.
- Working hours. Office workers have a 44-hour cap, which means roster planning is tighter for full-time office staff.
- Women's protections. Female factory workers have specific night-shift protections; office female workers do not face these restrictions by default.
- Minor employment. Factories cannot employ minors below 14 in any role and have stricter rules for 14–18-year-olds.
How to apply the right sub-statute
- Identify the workplace. Factory floor → Factories Act. Office, store, restaurant, hotel → Shops and Establishments Act.
- Mixed-workforce employers. Apply the correct sub-statute to each role; maintain separate registers.
- Common leave register. Many employers maintain a single leave register with a column tagging the applicable sub-statute.
- Common payroll system. The leave entitlements are identical, so payroll computation does not change between sub-statutes.
- Working-hours config. Set 48-hour cap for factory roles, 44-hour cap for office roles in the time-tracking system.
Edge cases and exceptions
- Office staff at a factory site. The Factories Act 1951 typically applies to all employees on the factory premises, but the office-specific rules of the Shops and Establishments Act may also apply for HR and admin staff. Confirm with the township labour office.
- Daily-wage workers. Same statutory leave once continuously engaged, regardless of sub-statute.
- Construction sites. May fall under the Factories Act 1951 or under separate construction-specific rules.
- Foreign workers. Same entitlements; sub-statute determined by workplace.
- Probationary employees. Same eligibility gates regardless of sub-statute.
- Notice and severance. Governed by ESDL 2013, not the sub-statutes.
- Maternity / SSB. Same statutory and SSB pathways across both sub-statutes.
Employer takeaway
Leave entitlements are the same for factory and office workers in Myanmar — 10 annual, 6 casual, 30 sick, 14 weeks maternity, ~15 days paternity, and ~21 public holidays. The Factories Act 1951 adds a 48-hour weekly cap, women-night-shift restrictions, and stricter inspection on factories; the Shops and Establishments Act applies a 44-hour cap to offices and retail. Mixed-workforce employers should apply the correct sub-statute per role and maintain separate registers. Retain records for at least 7 years.
Frequently asked questions
Does this entitlement apply to employees on fixed-term contracts?
Yes. Fixed-term contract employees in Myanmar receive the same statutory leave floor as permanent employees once they meet the relevant service-tenure thresholds. The Leave and Holidays Act, the Factories Act 1951, and the Shops and Establishments Act do not distinguish between fixed-term and indefinite contracts for leave purposes — eligibility is set by months of continuous service. Contract expiry is not termination, so unused annual-leave balance is encashed at the end of the contract using (monthly salary ÷ 30) × unused-days. See the bucket E pages on fixed-term contracts for the contract-side rules.
How does this interact with payroll and SSB?
All paid leave is treated as ordinary salary income for Myanmar payroll purposes. PIT is withheld through PAYE on every payslip that includes leave pay. SSB contributions (2% employee + 3% employer, capped on a wage base of MMK 300,000/month) continue during paid leave because the employee is still earning wages. SSB contributions pause only during unpaid leave. Encashment of accrued annual leave at exit is part of taxable salary for PIT but practitioners differ on SSB treatment of the lump sum — confirm with the township SSB office on filing.
What records does the township labour office expect?
Inspectors typically request the leave register for the past 12 months, medical certificates for sick leave over 3 days, maternity / paternity SSB filings, final settlement worksheets for recent leavers, and the public-holiday gazette for the current year. Records must be retained for at least 7 years under both the Factories Act 1951 and the Shops and Establishments Act. Keeping a clean per-employee leave file with tagged entries makes inspections quick and defensible. Digital records from a payroll system are acceptable provided they can be printed on demand.
Common leave-law mistakes
- Granting different leave to factory and office workers. The statutory floor is identical.
- Applying 48 hours to office workers. Offices and retail are capped at 44 hours.
- Allowing women's night shifts in factories without township approval. Restricted by default; specific approval required.
- Maintaining a single register without role-tagging. Tag each entry with the applicable sub-statute for inspection clarity.
- Forgetting that ESDL 2013 governs notice and severance. Sub-statutes do not change those rules.
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