What Myanmar law says
The Settlement of Labour Disputes Law sets a typical limitation period of 6 months from the disputed action for an employee to file a complaint at the township labour office. Time runs from the date of the disputed action — for termination disputes, that is the last working day; for unpaid wages, the wage-due date; for unpaid severance, the date severance was due. After 6 months, the matter is generally time-barred and the township labour office will decline to take it up.
When the clock starts
| Dispute type | Clock starts |
|---|---|
| Termination without lawful grounds | Last working day |
| Unpaid severance | Date severance was due (typically 7 days after last working day) |
| Unpaid notice or pay in lieu | Date final settlement was due |
| Unpaid wages | Wage-due date (typically 7th of following month) |
| Unpaid leave encashment | Date final settlement was due |
| Constructive dismissal | Date employee resigned |
Why the deadline matters for employers
- After 6 months, employers can rely on the limitation defence.
- Employers should still keep records for at least 7 years (for tax and SSB purposes).
- Settling within the 6-month window eliminates exposure cleanly.
- Late or partial payments may restart the clock for that specific item.
What if there's a dispute
- Township labour office first — file within 6 months of the disputed action.
- Conciliation Body — formal conciliation under the Settlement of Labour Disputes Law.
- Arbitration Council — final binding step. Statute of limitations: typically 6 months.
Employer takeaway
Track the 6-month window from each employee's last working day. Run final settlement within 7 days of last working day to start the clock cleanly. Keep the contract, payroll, leave, and termination records for at least 7 years even after the dispute window closes — IRD and SSB audits use a longer window. Issue the relieving and experience letters and deregister from SSB within 30 days.
Edge cases and unenforceable clauses
- Continuing violations (e.g., monthly under-payment) — clock may run from each missed payment.
- Settlement agreements — bar later claims if properly bilingual and signed.
- Out-of-time complaints — typically declined; rare exceptions for fraud or concealment.
- See role of the township labour office.
Common limitation mistakes
- Treating the 6-month window as the records retention period — it is not (records keep for 7+ years).
- Not running final settlement within 7 days, which may delay the clock.
- Failing to document the last working day in writing.
- Issuing partial payments that restart the clock.
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.