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 ...