[Cambodia Legal Update] Postponement Of Payment Of Back Pay Seniority Indemnity In Cambodia

June 5, 2020
Seniority payments for a large percentage of workers have been postponed until next year. 
Photographer: Hong Menea

On 02 June 2020, the Ministry of Labor and Vocational Training informed an official notification on the postponement of the payment of back pay seniority indemnity.

In particular, in order to support the private sector and workers/ employees affected by Covid-19 pandemic, The Ministry has informed to owners or directors of factories, enterprises and workers/ employees using undermined duration contract (UDC) that the payment of back pay seniority indemnity before 2019 and the new one in 2020 shall be delayed until 2021.

During this postponement, owners, directors, factories, or enterprises shall back pay seniority indemnity before 2019 and new seniority indemnity in 2020 when terminating the labor contract of workers/ employees, excepting the case of terminated due to serious misconduct or resignation.

Reference:

This is not a legal document. The information here is for reference and general guidance purposes only.

Kindly contact NVM to obtain qualified legal consultation for specific situations

Mr. Huynh Minh Quan | (84) 903 969 118 | quan.huynh@nvmgroup.com

Tags:  Cambodia