Compensation For Employment Contract Termination

MoLVT just issued a notification on compensation for employment contract termination. Please see below for the draft translation and attached for the Khmer Translation

What should be paid to the employee if the employment contract is terminated by the employer and in the event of bankruptcie is stipulated clearly in this letter.

In terms of termination of employment contract by the employer without proper reason, the worker did not commit any serious offenses as stated in Article 83 of the Labor Law and serious offenses stipulated in the internal regulations of the enterprise.
A. For a fixed duration contract (FDC), the worker receives:
• Unpaid Wages (Article 116)
• Remuneration for the remaining annual leave (Articles 166 and 167)
• Remuneration of employment end contract at least 5% of the wages paid by the worker during the term of the employment contract (Article 73)
• Compensation which is at least equal to the salary that the worker must receive until the end of the employment contract (Article 73).
B. For an undetermined duration contract (UDC), the worker receives:
• Unpaid Wages (Article 116)
• Remuneration for the remaining annual leave (Articles 166 and 167)
• Remuneration for replacement of prior notice in case the employer did not give prior notice in accordance with the Labor Law (Articles 75 and 77)
• Remuneration pays in any semester in which the employee is terminated and the remuneration of the total seniority that the employer has not yet paid (New Article 89)
• Compensation the worker may claim a severance pay equal to the seniority allowance received during the term of the employment contract (New Article 91).
Bankruptcy Enterprise Case
A. For a fixed duration contract (FDC), the worker receives:
• Unpaid Wages (Article 116)
• Remuneration for the remaining annual leave (Articles 166 and 167)
• Remuneration of employment contract at least 5% of the wages paid by the worker during the term of the employment contract (Article 73).
B. For an undetermined duration contract (UDC), the worker receives:
• Unpaid Wages (Article 116)
• Remuneration for the remaining annual leave (Articles 166 and 167)
• Remuneration for replacement of prior notice in case the employer did not give prior notice in accordance with the Labor Law (Articles 75 and 77)
• Remuneration pays in any semester in which the employee is terminated and the remuneration of the total seniority that the employer has not yet paid (New Article 89).

Note: Bankruptcy cases do not include compensate because workers who are terminated due to bankruptcy do not affect the honour, dignity or misunderstanding of the public or other workers as incompetent or no productivity at work. Losing a job does not have to be complicated. In the case of dismissal of a separate employee by the employer, there are elements that affect the honour and dignity and suspicions from other co-workers on the ability or productivity or behavior of the laid-off worker.