How do I manage HR for a logistics company in Myanmar?

What this looks like in practice

A Myanmar logistics operator typically combines a head office, a warehouse, a transport pool (drivers and helpers) and a last-mile rider fleet. The S&E Act covers office, the Factories Act 1951 typically covers warehouse operations classified as factory-coded sites, OSH Law 2019 covers accident reporting and the safety committee at 50+. Driver classification is the most-litigated area — drivers paid per trip can still be employees under ESDL.

Step-by-step setup

1. Register the company with DICA, get the transport licence per the Ministry of Transport & Communications.
2. Issue ESDL appointment letters to office, warehouse, drivers, helpers and riders — including those paid per-trip.
3. Set the driver-hours register with start/end logs; cap weekly hours at 48 per Factories Act if warehouse-bound.
4. Run consolidated monthly payroll — fixed salary for office; variable + per-trip for drivers/riders, treated as wages for PIT.
5. Register with SSB at 5 employees — drivers and riders are IPs.
6. Set OSH committee at 50 — warehouse PPE, lift safety, fire drill, accident register.
7. Report serious accidents within 24 hours — vehicle crashes with injury are MoLES-reportable plus traffic-law reporting.

Tools, templates and costs

• Logistics HRMS with shift, route and trip-pay: MMK 600,000–1,500,000/month for 30–80 staff.
• Driver salaries: MMK 400,000–800,000/month + per-trip allowance + meal allowance.
• Rider salaries: MMK 350,000–600,000/month + delivery incentive (often piece-rate per delivery).
• Templates: driver appointment letter, trip-pay register, warehouse OT log, accident report, vehicle inspection log.

Driver classification

"Per-trip" or "per-delivery" pay does not by itself make a driver a contractor. Tests applied at the township labour office include exclusivity, control over schedule, ownership of vehicle, and whether the driver works for multiple clients. A driver wearing the company uniform, using the company vehicle, and dispatching only the company's deliveries is an employee — issue an ESDL contract and register with SSB.

Pitfalls to avoid

• Drivers and riders treated as contractors — biggest classification risk in the sector.
• Per-trip pay not on payslip — Payment of Wages Law violation.
• No driver-hours register — risk of OT under-payment and accident-liability exposure.
• Warehouse run as S&E Act — Factories Act 1951 typically applies.
• Late accident report — 24-hour deadline is hard, plus traffic-law reporting layered on top.

Related: factory HR compliance, daily-wage workers in payroll, and running payroll.