🇰🇭 Cambodian Labor Law • Prakas 442/18 MLVT

Cambodia Seniority Indemnity & Severance Calculator

Calculate statutory Seniority Indemnity (15 days/year, payable in June & December) for UDC permanent contracts, 5% severance pay for FDC fixed-term contracts, and final exit settlements with accrued annual leave in USD ($) and KHR (៛).

Common Scenarios:

⚖️ Employment Contract Parameters

USD ($)

Includes basic salary and mandatory fixed allowances.

FDC maximum legal cap: 24 months.

Statutory rate: 1.5 days/month (18 days/yr).

📋 Statutory Entitlements

MLVT Prakas 442
Total Statutory Exit Entitlement
$ 0.00
≈ ៛ 0
Statutory Daily Wage (Base / 26): $ 0.00 / day
Semi-Annual Seniority (7.5 Days): $ 0.00
Full Year Seniority (15 Days): $ 0.00 / year
FDC Severance Payout (5%): $ 0.00
Unused Annual Leave Cashout: $ 0.00
Payment Schedule: June & December Disbursements
* Conforms strictly with Articles 73 and 89 of the Cambodian Labor Law and Prakas No. 442/18 of the Ministry of Labour and Vocational Training (MLVT).

🏛️ Comparison: UDC Seniority Indemnity vs FDC Severance Pay

Feature / Requirement UDC (Undetermined Duration) FDC (Fixed Duration)
Statutory Entitlement Seniority Indemnity (15 days/year) Severance Pay (≥ 5% total wages)
Disbursement Timing Semi-annually in June (7.5d) & Dec (7.5d) At contract expiration date
Daily Wage Divisor 26 days (MLVT standard) 26 days
Maximum Contract Duration Indefinite permanent status Capped at 2 years cumulative

❓ Frequently Asked Questions on Termination & Severance

What happens if an employee resigns voluntarily from a UDC contract? ▼

If an employee resigns voluntarily with proper notice, they do not receive seniority indemnity for the ongoing uncompleted semester, but they retain all semi-annual seniority indemnities already paid in previous periods, plus full compensation for accrued unused annual leave.

Can an FDC contract be renewed indefinitely? ▼

No. Under Article 67 of the Cambodian Labor Law, an FDC cannot have an initial duration of more than 2 years. If renewed or extended beyond a total cumulative duration of 2 years, it automatically converts by operation of law into a permanent UDC contract.

What are the statutory notice periods for UDC dismissal? ▼

Statutory notice periods under Article 75: 7 days for service under 6 months; 15 days for 6 months to 1 year; 1 month for 1 to 5 years; 2 months for 5 to 10 years; and 3 months for service exceeding 10 years.

What is back-pay seniority indemnity for service prior to 2019? ▼

Under Prakas 442, employers in the garment/textile sector were required to disburse back-pay seniority of 30 days/year (15 days semi-annually), while other sectors had schedules deferred to subsequent years up to a maximum cap of 6 months' wages.

Does dismissal for serious misconduct forfeit seniority indemnity? ▼

Yes. If an employee is lawfully dismissed for serious misconduct (Art. 83), the employer is not required to pay notice or the ongoing seniority indemnity for the current semester, although wages for hours worked and unused leave remain payable.

📊 Royal Government of Cambodia GDT & NSSF Statutory Matrix

Statutory Component / Legal Deduction Item Calculated Amount (KHR)
Primary Net / Statutory Payable Amount 0 KHR
MS

Engr. Muhammad Shahzad

Principal Financial Systems Architect & ASEAN & Kingdom of Cambodia Fiscal Policy Lead

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