1

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The Republic of the Union of Myanmar
Population 60 Millions(est.)
Labour Force
Labour Force Participation rate
No. of Factories, Shops and
Establishments
37 Millions
66%
126127
 No. of workers 3.65 Millions
2

(1) The Employment and Training Act, 1950
(2) The Employment Restriction Act, 1959
(3) The Dock Workers (Regulation of Employment)
Act, 1948
(4) The Dock Labourers Act, 1934
(5) The Oilfields (Labourers and Welfare)Act, 1951
(6) The Factories Act, 1951
(7) The Payments of Wages Act, 1936
(8) Agricultural Workers Minimum Wages Act, 1948
3

(9) Minimum Wages Act, 1949
(10) The Leave and Holiday Act, 1951
(11) The Shops and Establishments Act, 1951
(12)
The Workmen’s Compensation Act, 1923
(13) The Social Security Act, 1954
(14) The Employment Statistics Act, 1948
(15) The Law Relating to Overseas Employment,
1999
(16) The Labour Organization Law (11.10.2011)
(17) The Settlement of Labour Dispute Law
(28.3.2012)
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


5





(1) Social Security Bill
(2) Minimum Wages Bill
(3) Employment and Skill Development Bill
(4) Workmen Compensation Bill
6




7

 Constitution of the Republic of the Union of
Myanmar (2008) was promulgated on
29.5.2008.
Chapter I
Basic Principles of the Union Government
Section 24 The Union shall enact necessary laws to protect the right of workers.
8

Section 354 Every citizen shall be at liberty in the exercise of the following rights, if not contrary to the laws, enacted for Union security, prevalence of law and order, community peace and tranquility or public order and morality;
(a) to express and publish freely their convictions and opinions;
(b) to assemble peacefully without arms and holding procession;
(c) to form associations and organizations;
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



In conformity with the freedom of association and protection of the right to organize convention
(C.87) ratified by Myanmar.
In harmony with the international practices.
The very first labour law Reform was done on the
Labour Organization law.
The Labour Organization Law was promulgated on 11 th October, 2011. But the law came into effect on 9 th March, 2012 by announcing the Notification of the office of the President of Myanmar.
10



The Settlement of Labour Dispute
Law was already promulgated on
28 th March, 2012 to accompany with the Labour Organization Law(2011).
In the meantime the Law Defining the Rights and Responsibilities of
People’s Workers (1964) was repealed on 21 st , November, 2011 just to make the attraction especially for Foreign
Direct Investment(FDI).
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Ratified by Parliament(Pyidaungsu Hluttaw)
Discussion and Debate by Bill Committees in Parliament
Submission to the Parliament
Cabinet of the Union Government
Request the Legal Advise of the
Office of Attorney General
Consultation Meetings:
-Other Ministries
-Domestic Legal experts and ILO legal Experts
-Employers’ Organization / Labour Organization
Concerned Ministry
Office of the President
The President signed the
Law
Promulgation of the
Law
12


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

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
Chapter I
Chapter II
Chapter III
Chapter IV
Number of Chapters = 14
Title, Enforcement and
Definition
Establishment of the Labour
Organizations
Registration
Functions and Duties of the
Chapter V
Executive Committee
Rights and Responsibilities of the
Chapter VI
Labour Organization
Establishing and Expending of
Fund
Chapter VII Duties of Employer
13

 Chapter VIII Duties and Powers of the
Chief Registrar
 Chapter IX
 Chapter X
Application relating to the
Decision of the Chief
Registrar
Duties and Powers of the
 Chapter XI
Township Registrar
Lock-out and Strike
 Chapter XII Prohibitions
 Chapter XIII Penalties
 Chapter XIV Miscellaneous
14

 The Ministrial Notification on Rules for the labour organization law was issued on the date 29.2.2012. (8 Chapters and
43 Rules)
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Myanmar Labour
Confederation
Labour Federation
Region /State Labour
Organization
Township Labour
Organization
Support by not less than (10) percent of all workers
Basic Labour Organization
20% LFs
10% R/S LOs
10% TLOs
10% , 2 BLOs
30 workers and more
16

Relevant Counterparts
Myanmar Labour
Confederation
Myanmar Employers’ confederation
Labour Federation
Region/State/
Township
Labour
Organization
Employers’ Federation
Employers’
Organization
Basic workers Employers
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Rights of Labour Organization
 Section 19 The labour organizations have the right to send representatives to the Conciliation Body in settling a dispute between the employer and the worker. Similarly, they have the right to send representatives to the
Conciliation Tribunals formed with the representatives from the various levels of labour organizations.
 Section 20 In discussing with the Government, the employer and the complaining workers in respect of worker's rights or interests contained in the labour laws, the representatives of the labour organization also have the right to participate and discuss .
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

Section 21 The labour organizations have the right to participate in solving the collective bargains of the workers in accord with the labour laws.
Section 29
The employer shall recognize the labour organizations of his trade as the organizations representing the workers.
 Section 37,38,39 Right to Lock-out and Right to
Strike
 The workers organization (Labour Organization) has the right to strike but it must be done with the stipulations.
 The employer has also the right to proceed lock-out.
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


Services Industrial Action
Lock-out Strike
Public Utility Services 14 days 14 days
Services other than 14 days 3 days
Public Utility Services
Essential Services X X
20


Section 41 Illegal Lock-out or illegal Strike
Essential services
Without permission of the relevant labour federation
-
-
-
Failing to inform in advance
Not being relevant to labour affair
Not in conformity with submission in advance (date, place, time, period, number of participants)

Section 42 If it is an illegal lock-out or illegal strike, it may be prohibited in accord with the existing law.
(Especially when it is likely that threat to the law and order or acute national crisis can happen).
21


As of 2.6.2012, the registered labour organization and employers’ organization are as follows;
No. of labour organizations (30)
[One Myanmar Seamen’s
Federation and 29 basic labour organizations. ]
No. of Employers’ Organizations
(10)
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6
7
4
5
S/R
1
2
3
Factory / Industry/ Occupation
Shoe Factory
Garment Factory
PVC Pipe Factory
Ceramic Tile Factory
Freight Handling
Cement Factory
Wood design (Teak) Factory
8
9
Metal Forging Factory
Construction
10 Mini Tractor Factory
11 Hotel
12 Trishaw
13 Farmers & Agriculture Workers
14 Mining Workers
15 Chemical Product Factory
16 Food Stuff Factory
17 Taxi Driver
Total No. of Organization
1
4
1
1
1
1
1
Number
1
8
1
1
1
1
2
1
2
1
29
23

S/R Service / Industry
1 Oversea Workers Sending Agency
2 Garment
Total No. of Employers’ Organizations
Number
2
8
10
24


th

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Number of Chapters = 10
 Chapter I Title and Definition
 Chapter II Formation of the Workplace
Coordinating Committee
 Chapter III Formation of the Conciliation Body
 Chapter IV Formation of the Dispute Settlement
Arbitration Body
 Chapter V Formation of Dispute Settlement
Arbitration Council
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 Chapter VI
 Chapter VII
Settlement of Dispute
Confirmation, Amendment and
Effectiveness of Decision
 Chapter VIII Prohibitions
 Chapter IX Penalties
 Chapter X Miscellaneous
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
th
28

Labour Dispute
Individual Dispute
Township Conciliation
Body
Competent Court
Industrial Action
(strike& lock out)
Collective Dispute
Township Conciliation
Body
3 days
AG
Region/State Arbitration
Body
7 days
7 days
Essential
Services
Arbitration Council
14days 7 days
Tribunal
Decision
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Individual Dispute (Rights Dispute)
 Parties - The employer and worker or some workers.
 Subject - The employment contract
- The collective Agreement
- Existing Labour Laws & Rules,
Regulations, Notification, ..etc.
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Parties
Subject
The employer or employers or employer’s organization
(Collective Labour) workers or worker’s organization
 working conditions
 the recognition of organizations
 the exercise of the recognized right of their organizations
 relations between employer and workers
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Consequence
32

 Section 3 In any trade in which more than 30 workers are employed, the employer shall establish the Workplace Coordinating Committee.



The Committee will comprise of representatives of workers and representatives of the employer.
( equal Vote )
One year TENURE.
Right to
Collective Bargaining
Conclusion of
Collective Agreement
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 Township level
 Tripartite structure (11 Persons)
 The secretary is the Township Labour Officer (TLO).
 Time to conciliate 3 days.
 Extension is also possible if both parties agree.
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
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Rules
Rule10. The member of a Conciliation
Body:
(a) shall have attained 21 years of age;
(b) shall have experience in labour affairs;
(c) shall have good character.
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36



 Tripartite Formation ( 11 person )
- Government Representatives/ Public Interest
- 3 Employers’ Representatives
- 3 Workers’ Representatives
Self- administered Division
Self- administered Zone
37


Rule
Rules
14 The member of the Arbitration Body:
(a) shall have attained 25 years of age;
(b) (i) if he is a Chairman, shall have experience in work of legal affairs or labour affairs;
(ii) if he is a person elected from the list recommended and submitted by the employers’ organizations and labour organizations, shall have work experience;
(c ) shall have good character.
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 15 qualified person of Good Standing from legal experts and experts in labour affairs

3
(a) The first panel submitted by the Ministry of Labour ( 5 persons )
(b) The second panel submitted by the
Employers’
O rganizations ( 5 persons )
(c) The third panel submitted by the Labour
Organizations ( 5 persons )
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Rules
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
Rule
20
(a) shall have attained 35 years of age;
(b) shall be a person who has experience in work relating to legal affairs or labour affairs or relevant work;
(c) shall be a person who may carry out the benefit of employer and worker fairly;
(d) shall be a person who has good character.
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Supreme Court decision
Arbitration Council
Industrial Action
(Strike/Lock-out) decision
State/Region Arbitration Body
Litigation
Arbitration -II
Arbitration - I
Township Conciliation Body Conciliation
Workplace Coordinating Committee Negotiation
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Central Trade Disputes Committee (CTDC)
( Final and No appeal to Supreme Court )
Division Trade Disputes Appeal Committee
(DTDAC)
Township Trade Disputes Committee (TTDC)
Arbitration
Township Workers’ Supervisory Committee
(TWSC)
Concilitation
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S/R Year
No. of
Cases
No .of
Workers involved
Kyats (In
Million)
Cash Benefit
FEC USD
1 2009 395 5017 409.33
17016 -
2 2010 517 3921 40085.62
13299 1080
3 2011 679 8399 611.88
3795
Total 1591 17337 41106.83
34110
Source: Department of Labour and ( TWSC)
2377
3457
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S/R Year
1 2009- 2010
TTDC
Cases
DTDAC
Cases
CTDC
Cases
No .of
Workers
Involved
Cash
Benefits
Kyats (In
Million)
7 4 3 6.0
2 2010- 2011
3 2011- 2012
4
8
2
3
2
1
16
8
24.5
57.78
9 3 27 87.83
Total
Source: CTDC
19
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S/R
Month /
2012
Number of
Factories
Number of
Workers
Involved
1 January
2 February
3
10
2427
4357
Claim
Wages & Salaries, holidays
Wages & Salaries
3 March 3 2909 Wages & Salaries
4 April 1 1329 Pay Roll Simplification
Wages & Salaries 5 May 57 36810
Source: Department of Labour
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 The Right to Organize and Collective
Bargaining (C.98)

The Collective Bargaining Convention (C.154)

Myanmar does not yet ratify C. 98 and C. 154
 Recent establishment of labour organizations means that they have the right to Collective
Bargaining .
46


Collective Bargaining (CB ) is a voluntary process through which employers (or their organizations) and trade unions ( or in their absence workers representatives) discuss and negotiate their relations and interaction at the workplace, such as pay and other terms and conditions of work.

This process of bargaining aims to reach mutually acceptable collective agreements .
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 Important conditions for effective recognition of the right to collective bargaining are that workers’ organization are independent and not under the control of employers , or employer’s organization and that the process of collective bargaining can proceed without undue interference by the authorities.
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 All agreements in writing regarding working conditions and terms of employment concluded between an employer, a group of employer or one or more employers’ organizations, on the one hand , and one or more representatives workers’ organizations, or in the absence of such organizations, the representatives of the workers duly elected and authorized by them in accordance with national laws and regulations, on the other . (ILO/ 1996 , P.656)
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The term “ collective bargaining “ extends to all negotiations which take place between an employer, a group of employers or one or more employers' organizations, on the one hand, and one or more workers' organizations, on the other, for—
(a) determining working conditions and terms of employment; and/or
(b) regulating relations between employers and workers; and/ or
(c) regulating relations between employers or their organizations and a workers’ organization or workers' organizations. (ILO, 1996, P.93)
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

A.
The right to collective bargaining is a fundamental right endorsed by the members of the
ILO in joining the Organization, which they have an obligation to respect, to promote and to realize, in good faith (ILO Declaration on Fundamental
Principles and Rights at Work and its Follow-up).
B.
Collective Bargaining is a right of employers and their organizations, on the one hand, and organizations of workers, on the other hand (firstlevel trade unions, federations and confederations); only in the absence of these latter organizations may representatives of the workers concerned conclude collective agreements.
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
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C. The right to collective bargaining should be recognized throughout the private and public sectors , and it is only the armed forces, the police and public servants engaged in the administration of the State who may be excluded from the exercise thereof.
D.
The purpose of collective bargaining is the regulation of terms and conditions of employment , in a broad sense, and the relations between the parties.
E.
Collective Agreements should be binding . It must be possible to determine terms and conditions of employment which are more favourable than those established by law and preference must not be given to individual contracts over collective agreements, except where more favourable provisions are contained in individual contracts.
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

F.
To be effective, the exercise of the right to collective bargaining requires that workers’ organizations are independent and not “under the control of employers or employers’ organizations” and that the process of collective bargaining can proceed without undue interference by the authorities.
G.
A trade union which represents the majority or a high percentage of the workers in a bargaining unit may enjoy preferential or exclusive bargaining rights.
However, in cases where no trade union fulfils these conditions or such exclusive rights are not recognized, workers’ organizations should nevertheless be able to conclude a collective agreement on behalf of their own members.
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

H.
The principle of good faith in collective bargaining implies recognizing representative organizations, endeavouring to reach an agreement, engaging in genuine and constructive negotiations, avoiding unjustified delays in negotiation and mutually respecting the commitments entered into, taking into account the results of negotiations in good faith.
I.
In view of the fact that the voluntary nature of collective bargaining is a fundamental aspect of the principles of freedom of association, collective bargaining may not be imposed upon the parties and procedures to support bargaining must, in principle, take into account its voluntary nature; moreover, the level of bargaining must not be imposed unilaterally by law or by the authorities, and it must be possible for bargaining to take place at any level.
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 J. It is acceptable for conciliation and mediation to be imposed by law in the framework of the process of collective bargaining, provided that reasonable time limits are established. However, the imposition of compulsory arbitration in cases where the parties do not reach agreement is generally contrary to the principle of voluntary collective bargaining and is only admissible:
(1) in essential services in the strict sense of the term (those whose interruption would endanger the life, personal safety or health of the whole or part of the population);
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 (2) with regard to public servants engaged in the administration of the State;
 (3) where, after prolonged and fruitless negotiations, it is clear that the deadlock will not be overcome without an initiative by the authorities ; and
 (4) in the event of an acute national crisis.
Arbitration which is accepted by both parties
(voluntary arbitration) is always legitimate.
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1.
Labour Law awareness program should be extended to reach all stakeholders.
2.
All stakeholders including employers, workers and their respective organizations should abide by the law.
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