Cambodia lies amid the river trade routes linking China to India and Southeast Asia. In recent years, Cambodia’s macroeconomy has been growing at a stable rate of 6.9% to 7.6% every year. There were also extensive reforms in public management and finance which resulted in a step up in terms of transparency, accountability, efficiency and effectiveness in the business sphere and confidence among investors.
Employers need to follow the strict employment guidelines set forth by the local authorities before they could employ in Cambodia. This process can be time-consuming as the company first needs a legal entity in the country and it needs to manage payroll, tax, benefits and compliance.
Global payroll solutions make it easy to find and hire top talent in Cambodia. With one seamless integration and local legal entity, we take care of the compliance matters so that you can start your globelizing plan immediately.
Cambodia’s worker classification labour and tax laws distinguish between contractors and full timers. If the individual meets the legal definition of an employee but is classified as a contractor, your company will face penalties.
The employment relationships in Cambodia are governed by a number of legal instruments such as the Constitution, the Civil Code, the Labour Law, the Law on Minimum Wages, the Law on Social Security Schemes, the Law on Trade Unions, and international treaties. These rules and regulations are administered and enforced by the Ministry of Labour and Vocational Training (MLVT) and the Departments of Labour and Vocational Training (DLVT). Employees can raise a dispute on concerns regarding interpretation or enforcement of the contractual terms of employment, the provisions of a collective agreement as well as the regulations currently in force.
Globelise will be able to help you navigate through the employment process and so that you will be able to offer a competitive and compliance offer to attract and retain your employees in Cambodia.
Cambodian Labour Confederation has 7 associations and unions including Coalition of Cambodian Apparel Workers Democratic Union (C.CAWDU), Cambodian Tourism and Service-workers Federation (CTSWF), Independent Democratic of Informal Economic Association (IDEA), Cambodian Independent Civil-Servants Association (CICA), Farmers Association for Peace and Development (FAPD), Cambodian Food and Service-Workers Federation (CFSWF), and Building and Wood Workers Trade Union Federation of Cambodian(BWTUC).
Cambodian Labour Confederation ensures the promotion of fair and progressive employment practices, flexible wage system, among other labour-related issues. Employees may seek their unions for help when they feel that they are unfairly treated or have been non-compliant with their employment terms.
Probation is optional in Cambodia. However, the common practice is between 1 and 2 months, depending on the skills of the employee.
Company or Individuals who are looking to hire talents and run payroll globally
Talents who wants to work compliantly from anywhere