News

02nd - September, 2024

Cambodia’s 2025 Public Holiday Calendar for Civil Servants and Workers/...
On 24th August 2024, the Royal Government of Cambodia issued Royal Decree No. 204 on holiday calendar for civil servants and workers/employees for 2025. This decree outlines the following public holidays for the year 2025: January 1st: International New Year’s Day 7th: Victory over Genocide Regime Day March 8th: International Women’s Day April 14th, 15th and 16th: Khmer New Year May 1st: International Labor Day 11th: Visak Bochea (Buddha’s Birthday) 14th: King Norodom Sihamoni’s Birthday 15th: Royal Plowing Ceremony June 18th: Queen Mother Monineath’s Birthday September 21st, 22nd and 23rd: Pchum Ben Festival 24th: Constitution Day October 15th: Commemoration Day of King Father Norodom Sihanouk 29th: King Norodom Sihamoni’s Coronation Day November 4th, 5th and 6th: Water Festival 9th: Independence ...

28th - August, 2024

Regulations on Procedure for Overseas Worker Dispatch
On 19th August 2024, the Ministry of Labor and Vocational Training issued Notification No. 24 on Sending and Processing Documents of Cambodian Workers to Work Abroad. This client alert outlines key aspects of the new regulations. Key Points 1. Required Documentation The notification stipulates that for legal migration and employment abroad, Cambodian workers must possess: – Employment placement service contract – Employment contract – Overseas Cambodian Worker Card (OCWC) – Passport or Cambodian Travel Document for working overseas (TD) – Employment visa – Work permit card 2. Dispatch Process to Japan The notification outlines the dispatch process for several countries, including Japan. The process for deployment to Japan includes: – Employment placement registration (1 day) – Interview and employment placement ...

27th - August, 2024

New Regulations on Registration of Co-owned Buildings Built before December 1997
In a significant development for property owners in Cambodia, the Ministry of Land Management, Urban Planning and Construction (MLMUPC) has issued new regulations concerning the registration of co-owned buildings constructed before 19th December 1997.  This article outlines the key points of Prakas No. 050, issued on 19th July 2024, which establishes rules and procedures for this registration process. Purpose and Scope The primary objective of Prakas No. 050 is to provide a legal mechanism for registering ownership rights in co-owned buildings constructed before 19th December 1997.  This regulation addresses a long-standing gap in property registration for older structures. Definition of Co-owned Buildings The Prakas defines co-owned buildings as structures with multiple owner residents.  These include villas,  semi-detached villas, multi-story flats, ...

14th - August, 2024

Cambodia Introduces Digital Platform for Real Estate Service Licensing
The Non-Banking Financial Service Authority (NBFSA) of Cambodia has announced a significant change in the application process for real estate-related service licenses. According to a notification issued on 24th July 2024, the NBFSA has introduced a new digital platform for license applications. Effective 1st August 2024, individuals and businesses seeking licenses for real estate-related services can now submit their applications through the CamDigiKey app. This move towards digitalization aims to streamline the licensing process and improve efficiency in the real estate sector. This development marks an important step in Cambodia’s efforts to modernize its financial and real estate regulatory framework, leveraging technology to enhance administrative procedures.

01st - August, 2024

Circular on Holiday for Civil Servants, Staff, Workers/Employees and Students...
Cambodia Announces Public Holiday for Funan Techo Canal Groundbreaking The Cambodian government has issued a circular dated 1st August 2024, declaring holiday for civil servants, staff, workers/employees and students on the occasion of the groundbreaking of Funan Techo Canal construction on 5th August 2024. Key Points of the Circular: Official Celebration Date: The government has designated 5th August 2024, as the official day for celebrating the groundbreaking of the Funan Techo Canal construction. Holiday after participation in the ceremony: Government official, employees and students are granted a day off (paid holiday for employees of private sector) after participating in the groundbreaking ceremony. This circular aims to allow citizens to participate in and celebrate the commencement of this significant national project. ...

26th - March, 2024

Notification on Compensation for Employment Contract Termination
The Ministry of Labor and Vocational Training has issued the notification dated 21st March 2024 on compensation for employment contract termination. The notification clarifies the monetary compensations an employer must pay to an employee upon termination of a fixed-duration contract (FDC) or an undetermined duration contract (UDC) in the following circumstances under the Labour Law: (i) termination without valid reasons, (ii) termination due to an employee’s serious misconduct under Article 83 of the Labour Law or company’s internal rules, and (iii) termination due to bankruptcy. (i) Termination without valid reasons: FDC: Unpaid wages, payment in lieu of unused paid leave, severance pay of at least 5% of wages earned during employment, and damages equal to or greater than wages the ...

24th - February, 2024

Increase in Penalties for Labour Law Violations (Foreign Worker Permit Non-Co...
Penalties for labour law violations, particularly related to foreign worker permits, have been substantially increased since 2022. Notably, directors listed as registered tax representatives (holding a Patent Tax Registration Certificate) are required to obtain foreign worker permits, regardless of their residency status. Non-compliance can result in hefty fines of approximately USD 12,600. Traditionally, the Ministry of Labour and Vocational Training (MLVT) has not been proactive in imposing penalties. However, recent cases indicate an increasing trend in enforcing fines, necessitating vigilance. 1. Increase in Base Fine Amounts As per the Joint Prakas No. 346 issued by the Ministry of Justice and MLVT on 25th November 2022, the base daily wage rate used for calculating fines has doubled from 40,000 Riels (approximately ...

27th - January, 2024

Overtime System in Cambodia
In the rapidly evolving economic landscape of Cambodia, the legal framework governing labor practices, particularly overtime work, plays a pivotal role in balancing the dynamics between employer expectations and employee rights. As businesses strive for growth and adaptability, understanding the intricacies of Cambodia’s overtime work regulations becomes crucial. This column aims to shed light on the legal system of overtime work in Cambodia, offering insights into how the law shapes the working hours beyond the standard workweek. By delving into the specifics of the Labour Law of the Kingdom of Cambodia (the “LL”) and its application in today’s corporate environment, we embark on a comprehensive exploration of a system designed to harmonize productivity with the well-being of the workforce. 1. ...

13th - January, 2024

Sub-decree on Peace Day in Cambodia
The Royal Government promulgated the Sub-decree on Peace Day in Cambodia on 1st January 2024. The Sub-decree establishes 29th December of each year as a national holiday to commemorate the complete end of the civil war on 29th December 29 1998. With the promulgation of the Sub-decree, the Ministry of Labor and Vocational Training also issued Prakas No. 1 on Public Holiday on Peace Day in Cambodia dated 5th January 2024.

06th - October, 2023

Sub-Decree on the Implementation of the Cambodian Investment Law: An Overview
With the new Investment Law coming into effect on 15th October 2021, aimed at fostering and enhancing investment in Cambodia, the Sub-Decree on the Implementation of the Law on Investment was subsequently enacted on 26th June 2023. 1. Key Highlights of the Decree The Sub-Decree primarily outlines the prerequisites and sequence for investment project registration and execution (Chapter II), elaborates on the specifics of investment incentives (Chapter III), enumerates the diverse services rendered by the CDC (Council for the Development of Cambodia) and MPISC (Municipal-Provincial Investment Sub-Committees) to investors (Chapter IV), and delineates the protocols for the transfer and amalgamation of investment projects (Chapter V) as well as the suspension of such projects (Chapter VI). 2. Investment Activities Qualifying for ...