dfdl.com (06.04.2020) During the period of the COVID-19 outbreak, the Social Security Board (SSB) and the Ministry of Laboyr, Immigration and Population (MOLIP) have issued notifications in relation to social security benefits for the insured workers who are quarantined or are sick (including COVID-19 cases). The benefits that can be availed of by the insured workers under the Social Security Law, Rules and Notifications issued by the SSB and MOLIP are as the following: sickness cash benefit, and the maternity cash benefit. Ex-SSB insured workers who get laud off due to factory closure are also eligible to the cash sickness benefit and medical reimbursements according to the usual SSB rules and regulations.
Quarantined workers will receive paid sick leave and the maternity cash benefits.
Myanmar Legal Update: Highlights of Instructions, Notifications and Announcements on Prevention and Control of COVID-19 for Factories, Establishments and Construction Sites
As of 5 May 2020, the number of COVID-19 positive cases in Myanmar is 161 and 6 deaths have been reported. The number of patients who have recovered stands at 49. The Government has, as of now, locked down ten townships in Yangon, Myanmar. On 17 April 2020, the Yangon Regional Government also issued a 10pm to 4am curfew order for all townships in Yangon except Coco Kyun Township, which will be effective for 2 months from 18 April 2020.
The Ministry of Health and Sports (“MOHS”) and the Ministry of Labour, Immigration and Population (“MOLIP”) have issued instructions, notifications and announcements on the control and prevention of COVID-19 in factories, establishments and workplaces. Under the Instruction on COVID-19 control and prevention dated 19 April 2020 published by the MOHS (“MOHS Instruction”), factories, establishments, workplaces and construction sites must have the following arrangements on the control and prevention COVID-19, among others:
- Work from home arrangements (for the employees who can properly work from home);
- Physical distancing (for work places which cannot implement work from home methods);
- Directing the wearing of masks and gloves by all employees and providing adequate quantities of such personal equipment (“PPE”);
- Staff sickness control measures;
- Transportation;
- Entrances/exits of the factories, establishments and workplaces;
- Hygiene;
- Cleanliness and disinfection;
- Meal and rest times;
- Arranging proper ventilation in workplaces; and
- Regular cleaning and maintenance (and recording thereof) of internal air-conditioning components.
The MOLIP published an announcement dated 19 April 2020 (“MOLIP Announcement”) which addressed factories, workplaces and departments to follow the instructions and suggestions of the MOHS on the control and prevention of COVID-19. Under the MOLIP Announcement, the factories, workplaces and departments must be inspected by the inspection team using the prescribed inspection form issued by the MOHS. The inspection period runs from 20 to 30 April and the factories, workplaces and departments can be re-opened with the approval of the inspection team after passing inspection.
On 3 May 2020, the MOLIP has issued an instruction which categorizes business and services under three heads, namely, essential businesses, public services and essential public services which are essential for the public during the COVID-19 pandemic. These businesses and services may continue to operate after complying with the requirement specified by the MOHS to prevent and contain the spread of COVID-19 pandemic. Evidence of complying with the orders of the MOHS must be submitted for joint inspection by the MOHS and MOLIP.
In addition, as a result of the COVID-19 outbreak, some factories have permanently shut down and some have temporarily ceased operations. As of April 2020, at least 15 out of 500 factories have permanently shut down while five have temporarily ceased operations with many employees losing their jobs.
The MOLIP issued official Instruction No. 1/2020 on 20 March 2020, under which the factories and workshops registered with the Social Security Board (“SSB”) in accordance with the Social Security Law must notify the SSB if they have permanently shut down or temporarily ceased their operations or reduced their workforce. If the SSB finds out that factories and workshops have actually shut down or temporarily ceased the operations, they will be exempt from having to contribution social security payments on behalf of their employees. However, the factories and establishments must notify the SSB if they re-open their businesses within ten days from the re-opening date and must re-start payments to the SSB in order to obtain benefits under the Social Security Law.
During the period of the COVID-19 outbreak, the SSB and MOLIP have issued notifications in relation to social security benefits for the insured workers. The benefits that can be availed of by the insured workers under the Social Security Law, Rules and Notifications issued by the SSB and MOLIP are as follows:
Sr.NoEligible PersonBenefitIncome ReplacementDuration of entitlementRequirementsReference
1Currently SSB insured workers under quarantineSickness cash benefit60% of monthly salary (based on the average monthly salary for the last four months)
28 days
(quarantined at a facility for 21 days and home quarantine for 7 days)
Minimum 6 months’ registration with the SSB and 4 months’ of contributions to the SSBSSB Notification No. 11/2020
2Currently SSB insured workers who are sick (including COVID-19 cases)Sickness cash benefit60% of monthly salary (based on the average monthly salary for the last four months)26 weeks maximumMinimum 6 months’ registration with the SSB and 4 months’ of contributions to the SSBSocial Security Law 2013 and Social Security Rules 2014
3Currently SSB insured pregnant womenMaternity cash benefit60% of monthly salary (based on the average monthly salary for the last four months)8 weeks at a time up to a maximum of 26 weeksFor the duration of the COVID-19 crisis as per MOHS guidelinesSSB Instruction No. 9/2020
4Currently SSB insured workers impacted by temporary factory closures for inspection between 20 April to 30 AprilIncome support40% of the level of January 2020 salaryStarting from 20 April 2020 until the factory is allowed to reopenWorkers must be insured and have contributed up to January 2020MOLIP Notification No. 83/2020
5Ex-SSB insured workers who get laid off due to factory closureSickness cash benefit60% (average salary for the last 4 months)
Six months
Minimum 6 months’ registration with the SSB and 4 months of contributions to the SSBMOLIP Notification No. 1/2020 and 64/2020
Medical reimbursementDepends on the amount claimed12 monthsMust be registered with the SSB
All residents in Myanmar including employers and employees must comply with all notifications, directives, announcements and orders issued by the MOHS, MOLIP and other relevant authorities from time to time (the “Rules”). Anyone who violates any of the Rules shall be subject to fines and/or imprisonment in accordance with the relevant law such as The Prevention and Control of Communicable Diseases Law 1995, the Natural Disasters Management Law 2013 and other relevant laws.
The information provided here is for information purposes only, and is not intended to constitute legal advice. Legal advice should be obtained from qualified legal counsel for all specific situations.