Technical Update

Factories and enterprises currently employing foreign employees, or those planning to do so in 2025, must apply for the annual Foreign Manpower Quota (“FMQ”) to continue employing foreign employees for the upcoming year. The application process will be open through the Foreign Workers Centralized Management System (FWCMS), accessible at www.fwcms.mlvt.gov.kh, from 1 September 2024 until 30 November 2024 for all FMQ application for 2025.

This requirement also applies to newly established factories and enterprises. If your company is formed after the date of this notification and requires foreign labor, you can apply for the FMQ immediately after commencing operations.

Failure to apply for the FMQ for the year 2025 by the deadline will result in penalties from the Labor Inspector. Penalties for non-compliance include fines equivalent to 61 to 90 days of the base daily wage, amounting to KHR 12.2 million (approx. US$3,050) to KHR 18 million (approx. US$4,500) from the MLVT, in accordance with Article 369 of the Cambodian Labor Law and Prakas No. 326 on the Base Daily Wage for the Calculation of Penalty Fees.

Commentary

We strongly recommend submitting your 2025 FMQ application as early as possible, as the approval process may take several weeks. Without a valid FMQ approval, companies will be unable to apply for foreign work permits for their foreign employees for 2025.

Should you require further information regarding the FMQ, including the process for requesting an additional FMQ to exceed the standard quota (which limits foreign employees to 10% of the total number of Cambodian employees), we would be pleased to discuss your specific needs and provide assistance with applying for the 2025 FMQ with the MLVT.