Problems relating to Trade and Investment on Laos

 
16. Employment
Issue
Issue details
Requests
Reference
(1) Nebulous acquisition procedures for Multiple-Entry Visa - A long-term multiple-entry visa, stay permit, and work permit are hard to obtain. In addition, the procedures/periods for their acquisition remain unclear. - It is requested that GOL:
-- defines the exact acquisition procedures and the period of time necessary for acquisition of long-term multiple-entry visa, stay permit, and work permit, and
-- optimises the entire process crystal clear and justifiable.
(2) Increased Burdens upon Employers by Labour Act Amendment - Amended Labour Act in October 2014 (ALA) holds employers responsible for payment of severance indemnities to employees (without employment agreement with less than 3-years of limited service). In addition, ALA holds employers responsible to employ full-time medical service provider in the case of employment of more than 50-workers in remote area. - It is requested that GOL postpones or repeals the provisions, as it aggravates the foreign investment environment. - Amended Labour Act in October 2014
(3) Increased Burden upon Enterprises by Amended Scheme on Social Security - Enterprises must shoulder increased cost of social security for employees of 6% from the previous 5% due to amendment of the scheme on social security. - It is requested that that GOL takes step to postpone or repeal - Law on Social Security, Ref. No 34 / NA Vientiane, on 26 July, 2013
- Presidential Order of 20 August 2013
- Minister's Recommendation on Implementing Social Security Law (No.0283/MLSW)

(4) Shortage of Engineers - A member firm engaged in recruiting human resources business focused on engineers (mechanics and quality control), confronts difficulties in locating human resources (especially maintenance staff for manufacturing equipment). - It is requested that GOL takes step to develop superior technical engineers.

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