Quarantine Measures for Workers Taking Leave during the Khmer New Year and Returning Back to Work at Factories, Enterprises and Establishments

The Ministry of Labour and Vocational Training (“MLVT”) has issued Guideline No. 046/20 MLVT/GUI.CBN dated 17 April 2020 on the Quarantine Measures for Workers Taking Leave during the Khmer New Year and Returning Back to Work at Factories, Enterprises and Establishments (“Guideline”). Following the previous regulations of the MLVT and Ministry of Health, the Guideline requires all owners or directors of the factories and all workers to implement certain measures, such as providing isolation rooms for returning employees, and instructing workers to have health checks at the Health Control Centre.

Suspension of Employment Contracts and Postponement of NSSF Contributions for Garment Factories, Tourism Enterprises and Establishments

The Ministry of Labour and Vocational Training (“MLVT”) has issued a Guideline No. 045/20 MLVT/GUI.CBN dated 17 April 2020 on the Suspension of Employment Contracts and the Postponement of NSSF Contribution for Garment and Tourism Factories, Enterprises, Establishments severely affecting from COVID-19 (“Guideline”).

The Guideline applies to: (1) the owners and directors of the factories, enterprises, establishments of garments (which includes textiles, footwear, travel products and bags) and tourism (which includes hotels, guesthouses, restaurants and travel agents) in Phnom Penh, Siem Reap, Preah Sihanouk, Kep and Kampot who have insufficient raw materials or have no orders, export markets or clients, or have any particular difficulty leading to temporary suspension of production or business activities; and (2) the workers working in these factories, enterprises and establishments.

Measures to Support the Garment Sector from the Partial Suspension of the Everything But Arms Trade (EBA) Scheme

Pursuant to the Royal Government’s intention to improve the economy and to support the garment sector (i.e. textile, footwear, bags, and hats) due to the impact of the partial suspension of the Everything But Arms (EBA) trade scheme, the Ministry of Economy and Finance issued Prakas No. 319 on 24 March 2020 providing tax relief on tax on income for the impacted garment sector taxpayers.

MEF to Provide Tax Incentives to Educational Institutes Until 2023

The Ministry of Economy and Finance has issued Prakas No.209 on Tax Incentives for Educational Institutes dated 2 March 2020 (“Prakas”).

The Prakas aims to provide tax incentives for the education sector in order to support and enhance human resources development and to reduce the expenses of parents and guardians of students. It sets out the mechanisms for determining the implementation of tax on income, withholding tax and Value-Added Tax (VAT) that are applied to educational institutes in the Kingdom of Cambodia.

Requirement for Workers Transportation Permit and Work Performance during Domestic Travel Constraint

Following the Royal Government’s Order No. 02 ORD dated 9 April 2020 pertaining to the domestic travel constraint, the Ministry of Labour and Vocational Training issued a notification on the use of workers transportation permit and work performance during such domestic travel constraint.

Nationwide Travel Constraint for Preventing the Spread of COVID-19 and Exception for Certain Travels

The Royal Government of the Kingdom of Cambodia has issued Order No. 02 ORD dated 9 April 2020 on the Nationwide Travel Constraint for Preventing and Obstructing the Spread of COVID-19’ (“Order”). Based on the Order, the constraint enters into force from 24:00 of 9 April 2020 to 24:00 of 16 April 2020.

Postponement of Khmer New Year 2020 Holidays & COVID-19 Preventive Measures During Postponement Period

In order to prevent and fight the COVID-19 pandemic, the Royal Government of Cambodia and the Ministry of Labour and Vocational Training have issued notifications to postpone the 2020 Khmer New Year and set out the necessary measures for both the public and private sectors.