Employer of Record in Laos

Only 399 EUR per employee per month

We currently do not offer any services in this country.
We're sorry for the inconvenience...

Rivermate's Employer of Record (EOR) solution helps companies hire remote employees in Laos . We take care of global payroll, taxes, benefits, compliance and HR activities. So you can focus on growing your business. Our Employer of Record (EOR) solution is beneficial to companies that want to hire remote employees in a breeze. On this page you will find employment information for Laos.

Employer of Record people
A coin
Lao Kip
A pin
A paper airplane
Hire remote employees
A pile of gold
Line graph
GDP growth
Business suitcase
Ease of doing business
Planet earth
World GDP share

1. Grow your team in Laos with Rivermate as your Employer of Record (EOR) / PEO

Payroll, benefits, taxes, and compliance can be difficult to manage in Laos , particularly if you don't have established local relationships. You can hire employees in Laos effectively, conveniently, and in full compliance with all relevant labor laws using Rivermate's global Employer of Record (EOR) solution. We handle the responsibilities and legal risks associated with foreign employment so you can concentrate on growing your company.

2. Summary

Laos, formally the Lao People's Democratic Republic, is a socialist republic and Southeast Asia's only landlocked country. Laos is located in the core of the Indochina Peninsula, surrounded to the northwest by Myanmar and China, to the east by Vietnam, to the southeast by Cambodia, and to the west and southwest by Thailand. Vientiane is the country's capital and biggest city.

Laos' history and cultural identity may be traced back to Lan Xang, which flourished as one of Southeast Asia's major kingdoms from the 14th through the 18th centuries. Because of its central position in Southeast Asia, the kingdom became a center for overland commerce and grew economically and culturally. Lan Xang was divided into three kingdoms during a period of internal conflict: Luang Phrabang, Vientiane, and Champasak. In 1893, the three regions were unified under French rule to establish what is today known as Laos. It temporarily recovered independence following Japanese occupation in 1945 but was re-colonized by France until 1949. Laos gained independence in 1953 and established a constitutional monarchy under Sisavang Vong. A post-independence civil war ensued, with the communist resistance, backed by the Soviet Union, fighting against the monarchy, which eventually fell under the sway of military governments backed by the US. Following the conclusion of the Vietnam War in 1975, the communist Pathet Lao took control, thereby ending the civil war. Laos was therefore reliant on the Soviet Union's military and economic help until its disintegration in 1991.

Laos is a signatory to the Asia-Pacific Trade Agreement, ASEAN, the East Asia Summit, and La Francophonie. Laos sought full membership in the World Trade Organization in 1997 and was awarded full membership on February 2, 2013. It is a one-party socialist republic that adheres to Marxism–Leninism and is governed by the Lao People's Revolutionary Party, which has routinely characterized the country's human rights record as poor, citing repeated abuses such as torture, restrictions on civil liberties, and persecution of minorities.

The politically and culturally dominant Lao people account for 53.2 percent of the population, with the majority living in the lowlands. The foothills and mountains are home to Mon-Khmer communities, the Hmong, and other indigenous hill tribes. Laos' development strategies are based on generating electricity from rivers and selling it to its neighbors, specifically Thailand, China, and Vietnam, as well as its initiative to become a "land-linked" nation, as evidenced by the construction of four new railways connecting Laos and its neighbors. The World Bank has named Laos as one of the fastest-growing economies in Southeast Asia and the Pacific, with annual GDP growth averaging 7.4 percent since 2009.

Hiring talented employees in a short span is not an easy task. Partnering with an Employer of Record (EOR) like Rivermate in Laos is your best option, giving your organization enough time to focus on other aspects of international expansions like project management and inventory management. The EOR takes care of all the compliance and legal issues while helping you speed up hiring using their knowledge of domestic employment practices and virtual onboarding tools. Top EORs also have provisions for the e-signing of documents to enable faster onboarding.

3. Public holidays

4. Types of leave

There is no information about the types of leave for this country.

Paid time off

Employees receive 15 days of paid annual leave after one year of continuous service, in addition to official and customary public holidays and rest periods. Employees who perform hazardous work, as defined in Article 51 of the Labor Code, are entitled to 18 days of annual leave per year. Work that is hazardous includes:

Work that exposes employees to harmful radiation, communicable diseases, noxious vapors or smoke, or hazardous chemicals or materials (e.g., explosives).

Working in pits, underground tunnels, under water, or at high altitudes are all options.

Work in a variety of climates.

Work with vibrating equipment in a direct and consistent manner.

Employers set the dates of annual leave in advance or with the employee's agreement. Employees are entitled to reimbursement for unused vacation time if they are unable to take it due to circumstances beyond their control.

Public holidays

Under Article 55 of the Labour Code in Laos, employees are entitled to a paid day of rest on the following official holidays:

International New Year

International Women’s Day for female employees

The Lao New Year Festival

International Labor Day

National Teachers Day, for teachers and education management only

Non-Laos citizens are entitled to their respective national holidays

If an official public holiday falls on a weekly rest day, which is generally Sunday, employees are entitled to another day as a substitute.

The Prime Minister’s Office can announce additional public holidays. Further, employers and employees can agree to customary holidays. The following days may be considered as holidays:

Buddhist All Saints’ Day

Laotian National Army Day

Laotian New Year (Water Festival)

Birth, Enlightenment and Death of Buddha

Visakhabousa Day

Buddhist Lent Beginning

Rice Growing Day

Rice Donation Day

End of Buddhist Lent

Boat Racing Day

That Luang Festival

Laotian Constitution Day

Sick days

Employees who are paid on a monthly basis are entitled to 30 days of paid sick leave per year. If an employee is paid on a daily or hourly basis, per unit, or per specific work contract, they are entitled to 30 days of paid sick leave after working for at least 90 days. A medical certificate is required of all employees.

Employees are also entitled to three days of personal leave per year:

For the injury or death of a parent, spouse or child

To get married

For the birth or miscarriage of a child

If impacted by a natural disaster

Maternity leave

Employees who are women are entitled to at least 105 days of fully paid maternity leave. After the birth, at least 42 days of leave must be taken. When twins are born, maternity leave is extended to 120 days. Employees in Laos may be eligible for more time off under the country's social security system.

For up to a year after the birth of a child, female employees are given one hour of rest per day to care for the child.

In the event of a miscarriage, the mother is entitled to paid leave for the length of time recommended by the doctor.

Paternity leave

There is no statutory paternity leave in Laos.

Parental leave

Other than the already mentioned terms for maternity leave in Laos, there are no other provisions in the law regarding parental leave.

Other leave

5. Employment termination

There is no information about employment information for this country.

Termination process

Employment contracts can be cancelled by either the employer or the employee at the conclusion of the contract period (if the contract is for a specified time). Termination is permitted if the employee has committed any of the following actions: intentionally causing harm to the employer; violating employer rules or terms of the employment contract after receiving a warning; failing to report to work for four consecutive days without justification; being sentenced to prison; and violating the rights of other employees after receiving a warning.

Notice period

Both the employer and the employee have the right to terminate an employment contract during the probationary period by providing three days notice (manual labor) or five days notice (labor) (specialized skill work).

Probation period

Probation periods cannot exceed 30 days for manual labor positions and 60 days for positions requiring specialized skill. Employers must notify employees in writing no later than seven days before the probation period expires whether the employment relationship will continue or terminate.

Severance pay

Employers are required to pay employees any wages and remuneration due under the contract upon termination. Severance pay is calculated as 10% of the previous salary multiplied by the total number of months worked.

6. Working hours

There is no information about the working hours for this country.

General working schedule

All employees work a typical six-day workweek of eight hours per day. Each employee is entitled to one day of relaxation every week. Six days a week for six hours is the minimum need for dangerous industries or hazardous surroundings. These vocations may involve exposure to radiation, fumes, smoke, or infectious agents; explosive chemicals or materials; prolonged exposure to underground conditions, high heights, or underwater habitats; extreme hot or cold temperatures; and vibrating equipment.


The employer may request overtime from their employees with the approval of appropriate representation, trade unions, or a majority of the employees. These times are limited to three hours per day and 45 hours per month. The employees must earn 150 percent of their regular rate between 5 p.m. and 10 p.m., and 200 percent between 10 p.m. and 6 a.m.

7. Minimum wage

There is no information about the minimum wage for this country.

Monthly minimum wage is currently 1,100,000 Lao Kip (LAK). This is, however, subject to change at any time. Additionally, the state may establish minimum wages for specific occupations.

8. Employee benefits

There is no information about the employee benefits for this country.

Laos has a variety of healthcare programs. Employees in both the public and private sectors are covered by social security. Employees, their spouses, and their children are eligible for medical benefits under social security. Co-payments for certain treatments may be required of the individual.

The Social Security Fund supports sick benefits, but you are not required to provide employees with private health insurance. There are private health care facilities in the country, and you may choose to provide this benefit in whatever way you see fit.

The country's employment laws do not include any bonuses or additional benefits. You may include additional provisions at your discretion.

9. Taxes

There is no information about the taxes for this country.

Corporate tax

Laos is a tax-free jurisdiction. Corporations are not subject to income, capital gains, profit, or other types of direct taxes, regardless of their residency status.

Individual income tax

Laos is a tax-free jurisdiction. Corporations are not subject to income, capital gains, profit, or other types of direct taxes, regardless of their residency status.

VAT, GST and sales tax

Laos is a tax-free jurisdiction. Corporations are not subject to income, capital gains, profit, or other types of direct taxes, regardless of their residency status.

10. VISA and work permits

There is no information about VISA and work permits for this country.

Visitors from all over the globe may use this website to get acquainted with the Laos visa policy, which defines the conditions that international visitors must complete in order to enter the country. The visa requirements for Laos visa policy vary depending on the visitor's nationality, the purpose of his or her journey, and the amount of time the passenger plans to stay in the country.

Visitors must have an authorized visa and a passport valid for at least six months in order to enter Laos. Laos' visa policy provides for many sorts of visas, including electronic visas, visas on arrival, and tourist visas. Around 160 foreign nationals are eligible to apply for a Laos electronic visa (eVisa). You may acquire the document by completing a simple online form before to travel.

Typically, the applicant gets the approved eVisa via email within 3 working days after approval. It permits for a brief stay for tourist reasons. There are also less than ten nations whose inhabitants need visas on arrival, which they may get at almost all ports of entry once in Laos.

According to Laos visa regulations, people from certain countries are not permitted to submit electronic applications and must instead visit a government diplomatic office.

A tourist visa is required for tourists who desire to stay longer than the period provided for visa-free or eVisa travel, as well as those visiting Laos for other reasons such as employment or study.

Tourists wanting to visit Laos should be aware that the visa policy requires foreign citizens to get a visa in advance in order to gain access.

Laos presently offers three categories of tourist visas to foreign citizens who want to visit the Southeast Asian country. The online visa application method removes the need to apply for a visa in person or wait in huge lines at the border. Approximately 160 nations may now apply for a visa only online.

Laos tourist eVisas are single-entry visas that enable travelers to remain in Laos for up to 30 days for tourism reasons. Tourists from less than ten different nations must get a visa upon arrival in Laos. Applicants must follow the Laos visa policy in order to complete and submit the visa application for this method.

In addition, the Laotian Embassy or Consulate must handle tourist visa applications for 80 extra persons. Tourist visa applications should be filed at least four weeks before the intended arrival date.

11. Employer Of Record service terms

There is no information about the Employer of Record (EoR) service terms for this country.

Employment contracts

In Laos, an employment contract must be in written and signed by both parties. The contract must include the employment terms and conditions, such as the probationary period, salary, leaves, benefits, or other welfare entitlements that an employee would get at the end of the job.

With Rivermate being your Employer of Record (EoR) in Laos, you do not have to worry about the employment contracts, as we take care of that.

Minimum assignment length

The contract might be for a set amount of time or for an unlimited period of time. Fixed-term contracts may be for up to three years in length. Contracts having a term of more than three years are considered indefinite. Fixed-term contracts may be extended by giving notification no later than 15 days before the contract's expiry.

Payment currency

Lao Kip (LAK)

United States Dollar (USD)

Thai baht (THB)

13.Opening a subsidiary in Laos

There is no information about the working hours for this country.

How to set up a subsidiary

In the nation, you may form one of two kinds of companies: a Limited Liability Company (LLC) or a Public Limited Company (PLC). LLCs can only hold shares inside the organization, but PLCs may sell shares to the public. These corporations have distinct needs, but the registration procedure is the same.

Begin by submitting an application for a name reservation certificate to the Department of Enterprise Registration and Management. Then, apply for a certificate of enterprise registration. At this point, you'll need a solid structure in place, complete with shareholders, directors, and articles of incorporation.

After registering your business, you may apply for an operating license from the government responsible for your industry. Register for a tax identification number (TIN) with all of your formal papers, which will enable you to pay corporate taxes.

After you have completed your tax registration, you may apply for business sign approval and design your firm seal. The last step is to enroll in the Social Security Fund. After you have completed the procedure, you may create a bank account and begin running your business.

Subsidiary laws

Subsidiary laws differ based on the kind of firm. For example, a limited liability company (LLC) must have at least one shareholder and one director, but a public limited company (PLC) must have at least three directors and seven shareholders. Neither corporation kind necessitates the presence of a resident director.

Articles of association will be required regardless of your company. This formal document includes all of your company's operations, from naming directors to keeping track of cash. It must comply with all of the country's formal business laws, thus many owners consult with a lawyer to verify that their operations are legal.

13. Why choose Rivermate as your Employer of Record / PEO in Laos

Establishing an entity in Laos to hire a team takes time, money, and effort. The labor law in Laos has strong worker employment protection, requiring great attention to details and a thorough awareness of local best practices. Rivermate makes expanding into Laos simple and effortless. We can assist you with hiring your preferred talent, managing HR and payroll, and ensuring compliance with local legislation without the hassle of establishing a foreign branch office or subsidiary. Our PEO and Global Employer of Record (EOR) solutions in Laos give you peace of mind so you can focus on running your business. Please contact us if you'd like to learn more about how Rivermate can help you hire employees in Laos via our Employer of Record (EOR) / PEO solution.

A woman relaxing and drinking coffee
Hire anyone, anywhere
Ready to get started?