Laos Severance & Redundancy Pay Calculator
Compute statutory severance compensation under Article 90 of Lao Labor Law: 10% monthly salary per month served for physical labor and 15% for skilled/specialized staff.
⚖️ ຂໍ້ມູນເງິນເດືອນ ແລະ ອາຍຸການເຮັດວຽກ (Severance Parameters)
36 ເດືອນ = 3 ປີ.
📊 ເງິນອຸດໜູນເລີກຈ້າງ ແລະ ເງິນຊົດເຊີຍ (Settlement Summary)
| ລາຍການຊົດເຊີຍ (Payment Element) | ມາດຕາກົດໝາຍ | ຈຳນວນເງິນ (LAK ₭) |
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❓ ຄຳຖາມທີ່ພົບເລື້ອຍດ້ານກົດໝາຍ (FAQ)
How is statutory severance pay calculated under Lao Labor Law?
Under Article 90 of Labor Law No. 43/NA, when an employer terminates an employment contract without employee misconduct, severance pay is calculated based on tenure length: 10% of the employee's last monthly salary for each month of service for physical/unskilled labor; and 15% of the last monthly salary for each month of service for skilled, specialized, or intellectual labor.
What annual severance multiplier does this percentage equate to?
A rate of 10% per month of service equals 1.2 months of salary per year served (10% × 12 = 120%). A rate of 15% per month of service equals 1.8 months of salary per year served (15% × 12 = 180%), providing robust statutory compensation.
What is the mandatory statutory notice period prior to dismissal in Laos?
Under Article 82 of the Labor Law, the employer must provide written notice: not less than 30 days prior for employees performing physical/unskilled work; and not less than 45 days prior for skilled workers, professionals, and management personnel.
What happens if the employer dismisses an employee without observing the notice period?
Under Article 82, if the employer terminates the worker immediately without giving the full statutory 30 or 45 days' written notice, the employer must pay full wage compensation in lieu of notice for the unserved notice duration.
Can severance pay be denied if an employee is dismissed for cause?
Yes. Under Article 89, if an employee is terminated for serious willful misconduct (such as theft, deliberate property damage, unjustified absence of more than 4 consecutive days, or criminal conviction), no severance pay is owed.
Engr. Muhammad Shahzad
Verified Southeast Asian Statutory Systems SpecialistChartered Systems Engineer and Public Finance Modeler. Specializing in ASEAN labor frameworks (Lao Labor Law No. 43/NA), National Social Security Fund (NSSF) retirement schedules, Tax Law No. 67/NA profit and income tax matrices, and Électricite du Laos (EDL) energy tariff models under Lao PDR statutes.