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Myanmar Conducts Survey on Minimum Wage

Myanmar, the country slowly coming on the scene as a sourcing option, is conducting a survey on setting an official minimum wage level for workers.

According to Xinhua, the survey will be conducted by the Ministry of Labor, Employment and Social Security in partnership with the Confederation of Trade Unions Myanmar and gather information on families’ daily expenses, family sizes, regional price indices for basic commodities and income from 108 townships.

The ministry will use the survey findings and suggestions from organizations representing employees and employers for setting the minimum wage.

Minimum wages have been suggested to include bonuses, cost of living allowance and overtime fees, and work days set at eight hours.

The International Labour Organization (ILO) is also working with the Myanmar government and local research organizations to collect the data on workers and wages in the regions, Xinhua reported.

Parliament also passed a motion in November calling for increased salaries for state employees beginning in the 2015-15 fiscal year.

Both countries and companies are taking a chance on the country in hopes that it develops into a viable sourcing opportunity. Gap was the first American retailer to restart sourcing from Myanmar since sanctions were eased following the nation’s military rule.

And in November, the United States, Japan and Denmark announced a partnership to promote labor rights in Myanmar in an effort to make the nation an attractive sourcing and investment locale with decent working conditions and sustainable growth and development.

The wage study is expected to be complete by the end of February.