By Yoon Sat - Aug 09, 2024

Due to the political instability after the coup d'état and the skyrocketing prices of goods, the daily wage in Myanmar is currently falling below one US dollar. 

" Wages need to be raised or else everyone would leave the country," said a labor activist.

The daily minimum wage of a local worker was set above 3 US dollars but after the coup d'état, the dollar price rose to more than 6,000 kyats and all consumer food products also rose at the same time.

Despite such a huge rose, the workers' wages have dropped to less than one US dollar a day according to the current currency exchange rates as the workers are only getting paid 4,800 kyats daily wages and 1,000 kyats subsidy.

The minimum wages 4,800 kyats per day which was set in 2018 used the US dollar price as a reference and even though it is set to be revised every two years employers failed to raise the wages in 2020 and 2022 on the grounds of the covid-19 pandemic and gave a subsidy 1,000 kyats only starting in October, 2023. 

Although it was announced that workers from CMP factories and workshops are entitled to 1,000 kyats subsidy in addition of 4,800 kyats per day starting on October 1, 2023, there were criticisms that minimum wages should be paid 10,000 kyats per day and there were also continuous demands from the workers. 

There are analyzes that workers will choose to go to foreign countries if the employers doesn’t raise the daily wages as the domestic minimum wage if falling below 1 US dollar.

The workers went on strike to demand higher wages as the low wages push them to difficult livelihoods due to the rise in commodity prices and the employers respond to ask the wage raise from the Junta.