(2022.12.19-ны өдрийн орчуулга)                                                       Unofficial translation

LAW OF MONGOLIA

December 24, 2021                                                               State Palace, Ulaanbaatar city

ON LABOR FORCE MIGRATION

/Revised version/

CHAPTER ONE

GENERAL PROVISIONS

Article 1.Purpose of the Law

1.1.The purpose of this Law is to regulate the relations with regard to the employment of Mongolian citizens in a foreign country, the employment of foreign citizens and stateless persons in Mongolia, and the protection of their rights and legitimate interests.

Article 2.Legislation on labor force migration

2.1.The legislation on labor force migration shall consist of the Constitution of Mongolia, the Law on Permits, the Law on the Legal Status of Foreign Citizens, this Law and other legislative acts enacted in compliance with these laws.

/The term "Law on Licensing of Business Activities" of this paragraph was changed into the term "Law on Permits" according to the law as of June 17, 2022, and it shall be enforced on January 1, 2023/

2.2.In case any international treaty to which Mongolia is a party provides otherwise than this Law, the provisions of the international treaty shall prevail.

Article 3.Scope of the law

3.1.This Law shall apply to the following relations:

3.1.1.Relations with regard to the employment or practicing of a Mongolian citizen in a foreign country and the protection of his / her rights and legitimate interests;

3.1.2.Relations with regard to the work permit of a foreign citizen or stateless person to work in Mongolia.

3.2.Relations with regard to the permit to mediate a citizen of Mongolia to work or practice in a foreign country shall be regulated by this Law and the Law on Permits.

/The term "Law on Licensing of Business Activities" of this paragraph was changed into the term "Law on Permits" according to the law as of June 17, 2022, and it shall be enforced on January 1, 2023/

3.3.Relations with regard to the support for the return of Mongolian citizens working in a foreign country to their homeland shall be regulated by this Law and the Law on Employment Promotion.

3.4.Relations with regard to the travel, emigration and return of Mongolian citizens travelling in a foreign country for purposes of private business shall be regulated by the Law on Travel and Emigration of Mongolian Citizens Travelling In a foreign country for Purposes of Private Business.

3.5.Labor relations with regard to the work performed and services rendered by foreign citizens and stateless persons in the territory of Mongolia shall be regulated by the Labor Law.

3.6.Relations with regard to the visas and residence permits issued to foreign citizens having employment permits shall be regulated by the Law on the Legal Status of Foreign Citizens.

3.7.This Law shall not apply to relations with regard to the internal migration of the Mongolian labor force.

Article 4.Principles to be governed in the relations with regard to labor force migration            

4.1.The following principles shall be governed in labor force migration relations:

4.1.1.to be based on the supply and demand status of the labor market;

4.1.2.to support the national human resource capacity;

4.1.3.to be managed and organized in a consistent, transparent, expedient and comprehensive manner;

4.1.4.to respect the rights to work and freely choose one's job, be provided with fair and favorable working conditions, and receive a remuneration.

Article 5.Definitions of legal terms

5.1.The following terms used in this Law shall have the following meanings:

5.1.1."Foreign employee" means a foreign citizen or stateless person working or practicing in Mongolia;

5.1.2."Agreement on the mediation for employment in a foreign country" means a written agreement concluded between the hosting and sending competent authorities on the conditions of employment or practicing of a Mongolian citizen in a foreign country;

5.1.3."Practicing" means paid employment in which the main functions of the workplace are combined with training and instructions guided by a trainer-employee;

5.1.4."Mediator" means a for-profit legal entity licensed to provide mediation services;

5.1.5."Mediation service" means employment service provided on the basis of a license related to mediation of the employment or practicing of Mongolian citizens in a foreign country, the employment or practicing of foreign citizens or stateless persons in Mongolia, and the protection of their rights and legitimate interests;

5.1.6."Client" means a Mongolian citizen, a foreign citizen or a stateless person who has reached the age of 18 and is receiving mediation services;

5.1.7."Mongolian employee" means a citizen of Mongolia who is working or practicing in a foreign country in accordance with the agreement specified in the Article 5.1.2 of this Law;

5.1.8."Host country" means a foreign country that has concluded an employment mediation agreement in abroad.

CHAPTER TWO

MONGOLIAN CITIZENS TO BE EMPLOYED IN FOREIGN COUNTRIES

Article 6.Mediation services for Mongolian citizens to work in a foreign country

6.1.The state central administrative body in charge of labor matters shall issue a license to provide mediation services to Mongolian citizens for employment or practice in a foreign country (hereinafter referred to as "the license").

6.2.The following persons are prohibited to provide mediation services for Mongolian citizens to work in a foreign country:             

6.2.1.a legal entity engaged in tourism and air ticketing services;

6.2.2.a person or legal entity who has been found by an authorized body to have committed a crime of trafficking and kidnapping human(s), a crime against property ownership rights and economic crimes, and violations specified in Article 10.13 of the Law on Violations;

6.2.3.a civil servant;

6.2.4.a legal entity with foreign investment;

6.2.5.a foreign citizen, a stateless person, and a foreign legal entity;

6.2.6.non-governmental organizations;

6.2.7.religious organizations;

6.2.8.others specified in the legislation.

6.3 The member of the Government in charge of labor matters shall approve the procedure for providing mediation services for Mongolian citizens to work in a foreign country, the template of the administrative agreement to be concluded with the license holder, and the registration and reporting forms.

Article 7.Conditions and requirements of the license

7.1.The license shall be issued to a legal entity that meets the following conditions and requirements:

7.1.1.the legal entity should be a legal person holding a valid mediation agreement for employment in a foreign country;

7.1.2.the founder, a member of the Board of Directors, the executive management and any employee of the legal entity providing intermediation service should not have committed a crime of trafficking and kidnapping human(s), a crime against property ownership rights and economic crimes, and violations specified in Article 10.13 of the Law on Violations, and should not have any payment arrears determined by the court;

7.1.3.the legal entity should not have committed a crime, have been held liable for a criminal act and have committed a violation specified in Article 10.13 of the Law on Violations, and should not have any debt determined by the court;

7.1.4.the legal entity should hire a full-time employee responsible for providing mediation services, and should meet the standards and requirements set for entities providing employment services;

7.1.5.the amount of the registered capital of the legal entity shall be not less than 300,000,000 MNT;

7.1.6.others specified in the legislations.

7.2.In case the license holder provides mediation services in several countries, the minimum amount of the registered capital of the legal entity may be increased by the member of the Government in charge of labor matters from time to time.

Article 8.Documents to be submitted for obtaining the license

8.1.The applicant for the license shall submit the following documents:

8.1.1.the state registration certificate and the charter of the legal entity;

8.1.2.an agreement for the mediation of employment in a foreign country;

8.1.3.references on the compliance with Articles 7.1.2 and 7.1.3 of this Law;

8.1.4.an evidence proving the absence of social insurance premium debt;

8.1.5.an evidence proving the absence of tax debt;

8.1.6.financial sources and their evidences and audited financial statements;

8.1.7.the receipt of payment of state stamp duty.

Article 9.Issuance of the license

9.1.The state central administrative body in charge of labor matters shall decide a request for the license within the period specified in Articles 5.2 and 5.3 of the Law on Permits.

/This paragraph was revised according the law as of June 17, 2022, and it shall be enforced on January 1, 2023/

9.2.The license shall be issued for a period of three years.

9.3.The license certificate shall be a document printed on securities indicating the distinctive mark, unified numbering, the name and the registration number of the legal entity, the name of the host country, the reference number of the decision for the issuance of the mediation permit, and the validity and renewal terms of the license.

9.4.The Government may impose restrictions on the mediation services in some sectors taking into account the supply and demand status of the domestic labor market.

9.5.In case the license holder carries out mediation services in a country other than specified in the license, it shall submit an agreement concluded with the host party, the documents confirming the conditions for the implementation of the agreement and a request for the license, in accordance with this Law.

9.6.In the event of making a change to the employment mediation agreement after obtaining the license, the license holder shall notify and register with the state central administrative body in charge of labor matters within five business days.

9.7.The license holder shall notify the state central administrative body in charge of labor matters of any change made in the addresses, the locations, the contact phone numbers, the postal and e-mail addresses of the authorized person to represent the legal entity, the employee in charge of mediation services, the shareholders, the members of the board of directors, and the business entity within five business days. The licens holder shall be held responsible for the legal consequences of any failure for such notification.

9.8.The state central administrative body in charge of labor matters shall notify the state administrative bodies in charge of foreign citizens' issues, professional inspection and state registration, and the diplomatic representatives of Mongolia in foreign countries and the relevant authorities of the host countries about the decisions to issue, extend, suspend and revoke the license and shall publisize the decision via the public media within five business days from the date of the issuance of the decision.

9.9.The state central administrative body in charge of labor matters may provide electronic licensing services using an electronic system. The member of the Government in charge of labor matters shall approve the procedure for providing electronic licensing services and using the electronic system.

Article 10.Extension of the license

10.1.The license holder shall submit an application for the extension of the license along with the following documents to the state central administrative body in charge of labor matters in 30 days prior to the expiration date of the license:

10.1.1.a document confirming the validity of the employment mediation agreement for working in a foreign country;

10.1.2.a report certified by a financial auditor;

10.1.3.an evidence proving the absence of payment arrears determined by the court;

10.1.4.an evidence proving the absence of social insurance premium arrears determined by the court;

10.1.5.an evidence proving the absence of tax arrears determined by the court;.

10.2.The license shall be extended for a period of three years in consideration of the implementation of the employment mediation agreement, the results of the activities and the fulfilment of the relevant legislations.

10.3 The issue of whether to extend the license shall be decided during the validity term of the license.

10.4.Any request submitted after the deadline specified in 10.1 of this Law without a respectful reason shall not be accepted and the license shall be considered invalid.

Article 11.Suspension of the license

11.1.The license shall be suspended for up to three months by the decision of the state central administrative body in charge of labor matters on the following grounds:

11.1.1.the license holder has submitted a request for the suspension;

11.1.2.any violation of the mediation service regulations;

11.1.3.the license holder has failed to submit a report within six months, or submitted a misleading report or has not conducted any expected activities.

11.2.The state central administrative body in charge of labor matters shall suspend the license as soon as the circumstances specified in Article 11.1 of this Law arise and require the license holder to rectify the circumstances.

11.3.The license holder shall submit an explanatory report on whether the violation has been rectified along with the relevant evidences to the state central administrative body in charge of labor matters.

11.4.The state central administrative body in charge of labor matters shall renew the license if and when the circumstances justifying the suspension of the license are rectified.

11.5.The license holder shall be responsible for any legal consequences caused to the mediator in connection with the suspension of the license.

Article 12.Revocation of the license

12.1.The state central administrative body in charge of labor matters shall revoke the license on the following grounds in addition to those specified in the Paragraph 1 of Article 6.2 of the Law on Permits:

/The term "in the Article 14.1 of the Law on Licensing of Business Activities" of this paragraph was changed into the term "in the Paragraph 1 of Article 6.2 of the Law on Permits" according to the law as of June 17, 2022, and it shall be enforced on January 1, 2023/

12.1.1.the employment mediation agreement for working in a foreign country has expired and the license has not been renewed during its validity period;

12.1.2.the license holder has conducted activities prohibited by this Law;

12.1.3.the competent authority has determined that the decision to grant the license is illegal;

12.1.4.the license holder has not operated or ceased its operations within one year after the issuance of the license;

12.1.5.the license holder has not applied for an extension of the license within the period specified in 10.1 of this Law or has applied for it later than such period;

12.1.6.the conditions and requirements of the license are no longer met;

12.1.7.the license has been transferred to other person(s) in any form without the permission of the state central administrative body in charge of labor matters;

12.1.8.it has been established that the employment mediation services provided by the license holder has involved any damage, deceipt or illegal collection of fees and charges in violation of the legislations and procedures specified in 6.3 of this Law;

12.1.9.the license holder has provided mediation services to any person under the age of 18;

12.1.10.the license holder has provided mediation services to a citizen for a workplace that does not meet the internationally accepted labor safety and hygiene requirements, such as dealing with toxic, explosive, radioactive and biologically active substances and the production and sale of narcotic drugs and psychotropic substances;

12.1.11.the circumstances justifying the suspension of the license have not been eliminated or no explanation or evidence has been submitted.

Article 13.Rights and obligations of the mediator

13.1.The mediator shall have the following rights:

13.1.1.to receive information and data related to providing mediation services from the relevant government organizations;

13.1.2.to require the client to fulfill its obligations under the agreement.

13.2.The mediator shall have the following obligations:

13.2.1.to conclude an employment mediation agreement for working in a foreign country in accordance with the relevant legislations of the sending and hosting countries and any international treaties to which Mongolia is a party and fully provide and assure the client with information on the mediation and other related agreements;

13.2.2.to conclude an mediation agreement with the client and fulfill its obligations under the mediation and other related agreements;

13.2.3.to report to the state central administrative body in charge of labor matters on its mediation activities every six months;

13.2.4.to negotiate with the employer and the host to reflect the client's suggestions in the labor contract and improve the employment conditions agreed upon under the employment mediation agreement for working in a foreign country;

13.2.5.to submit the due reports to the state central administrative body in charge of labor matters and other relevant agencies upon termination of the mediation agreement;

13.2.6.to comply with the procedure set forth in Article 6.3 of this Law;

13.2.7.others specified in the relevant legislations.

13.3.The mediator may insure its activities in order to protect itself against the risks arising from its obligations under the mediation agreement.

Article 14.Rights and obligations of the client

14.1.The client shall have the following rights:

14.1.1.to receive information from the mediator in respect of the relevant legislations of the two concerned countries, the international treaties to which Mongolia is a party, the employment mediation agreements, the workplaces and the working conditions;

14.1.2.to submit disputes and proposals arising in the course of providing mediation services to the relevant competent authority for resolution;

14.1.3.to make proposals for improving labor contracts and employment conditions;

14.1.4.to require the mediator to fulfill its obligations under the agreement;

14.1.5.to get the level of professional skills and qualifications acquired while working in a foreign country assessed and obtain relevant certifications.

14.2.the client shall have the following obligations:

14.2.1.to fulfill its obligations under the employment mediation agreement;

14.2.2.to present the complete set of relevant documents and provide the mediator with accurate information;

14.2.3.to assume the responsibility for the expenses specified in 15.1 of this Law;

14.2.4.to undergo a medical examination;

14.2.5.others specified in the relevant legislations.

Article 15.Fee for the mediation services

15.1.The mediator shall be responsible for the following expenses, except for cases where the host or the employer has agreed to assume the responsibility for them under the employment mediation agreement for working in a foreign country:

15.1.1.the transportation costs;

15.1.2.the expenses for the preparation and training;

15.1.3.the medical expenses;

15.1.4.the expenses related to applying for a foreign visa.

15.2.The member of the Government in charge of labor matters shall set the maximum amount for the expenses for the preparation and training.

15.3 Any payments, fees, deposits, pledges and other expenses to be borne by the host other than those specified in this Law shall be prohibited to be claimed from the client.

Article 16.Mongolian citizens' employment in a foreign country under the agreements and memoranda of understanding concluded between governmental organizations

16.1.The state administrative body in charge of employment may organize the employment of a citizen of Mongolia in a foreign country in cases specified in the agreements, negotiations and memoranda between the state central administrative body in charge of labor matters and the foreign competent authorities.

16.2.The state central administrative body in charge of labor matters may issue a permit to train the students of vocational training and production centers and polytechnic colleges through practicing in a foreign country in the professional fields in accordance with the agreements with and invitations of the relevant host institutions.

Article 17.Orientation training for the employment in a foreign country

17.1.The orientation training for the employment in a foreign country shall have the following content:

17.1.1.general information on the legislations, the employment conditions, the culture and customs of the host country and other information required for the employment;

17.1.2.information on the labor safety conditions of the host country, the opportunities for association with others and information on the organizations representing the workers and the non-governmental organizations;

17.1.3.information on the health and social insurances and social welfare measures;

17.1.4.information on the potential risks and the measures for the protection against them;

17.1.5.information on the rights, obligations and responsibilities of the client;

17.1.6.information on the contact organization, if necessary;

17.1.7.information on the measures for supporting employment upon return to Mongolia;

17.1.8.other relevant information.

17.2.The training program shall be approved by the state administrative body in charge of employment matters.

17.3.The training shall be organized by the mediator and the state administrative body in charge of employment shall monitor its implementation.

Article 18.Support for Mongolian employees

18.1.The diplomatic missions of Mongolia having special positions of attachés in charge of labor related issues in the host countries shall have the following responsibilities for ensuring the labor rights of citizens working in foreign countries:

18.1.1.to disseminate information on the issues related to the culture, the customs, the working conditions, the social security and health services of the host countries;

18.1.2.to protect the rights and legitimate interests of Mongolian citizens working in the host countries, protect them, if and when necessary, ensure their security, and apply to the relevant authorities for assistance;

18.1.3.to study the labor legislations of the host country, prepare a brochure and provide information to the state central administrative body in charge of labor matters;

18.1.4.to provide legal assistance to any employee in case of any violation of an employment agreement concluded with a foreign employer;

18.1.5.to develop and implement proposals on cooperation with the competent authorities of the host countries in order to reduce the number of Mongolian citizens residing and working informally in the countries and get issued official permits to them;

18.1.6.to submit quarterly records and information on Mongolian citizens working in the host countries to the state central administrative body in charge of labor matters;

18.1.7.to organize activities in the host countries for the promotion and implementation of projects and programs aimed at supporting the return of Mongolian citizens to and employment in their homeland.

18.2.to cooperate with Mongolian civil associations, funds and non-governmental organizations operating in foreign countries to implement the responsibilities specified in Articles 18.1.1, 18.1.2, 18.1.4 and 18.1.7 of this Law.

Article 19.Certification of professional skills and qualifications

19.1.In case a client registered in Mongolia for working or practicing in a foreign country is required to present his/her certificates for professional skills or qualification, testimonials or diplomas received in Mongolia, they shall be certified by the state administrative body in charge of education issues or any other relevant authority.

19.2.In case a citizen of Mongolia has not certified his / her qualifications and professional skills acquired in a foreign country, the level of qualifications and professional skills shall be determined in accordance with the relevant legislation at the request of the citizen.

Article 20.Support for Mongolian employees returning to their homeland

20.1.A support shall be provided to any Mongolian employee who has returned to his / her home country for creating new jobs, undertaking small and medium businesses, getting employed or enjoying opportunities for involvement in projects and programs in accordance with the relevant legislations.

20.2.The activities specified in Article 20.1 of this Law shall be financed by the Employment Promotion Fund, the Small and Medium Enterprises Development Fund and other relevant special Government funds.

20.3.The state central administrative body in charge of foreign affairs and the state central administrative body in charge of labor matters shall approve and implement projects and programs aimed at facilitating the return and employment of Mongolian citizens working in foreign countries.

CHAPTER THREE

EMPLOYMENT OF FOREIGN CITIZENS IN MONGOLIA

Article 21.Types and categories of workplaces of foreign employees

21.1.The workplaces of foreign employees working in Mongolia shall be classified into the management, executive and supporting types.

21.2.The management positions shall have the following categories:

21.2.1.The General Directors, the CEOs, the foreign investors and the representatives of foreign investors of companies with foreign investment;

21.2.2.The Chairmans or the members of the Board of Directors or the executive directors of business entities or other organizations;

21.2.3.The managers of the branches and representative offices of international and foreign non-governmental organizations.

21.3.The executive positions shall have the following categories:

21.3.1.the employees and volunteers of the branches and representative offices of international and foreign non-governmental organizations;

21.3.2.the specialists working in scientific, education, health, cultural and sports organizations under agreements between governments and state organizations;             

21.3.3.the experts specialized in sectors determined by the Government of Mongolia;

21.3.4.the medical specialists providing health care services;

21.3.5.the highly qualified foreign engineers and equivalent employees working in Mongolia only for the period specified in the investment and development agreements;

21.3.6.the employees of scientific and research organizations and the teachers working at all levels of educational institutions having bachelor or higher degrees;

21.3.7.the professional teachers, coaches and specialists working in cultural and sports organizations.

21.4.The supporting positions shall have the following categories:

21.4.1.an employee having a certificate, a diploma or a professional certificate issued by the competent authority of the concerned country, or recognized in Mongolia, proving that he / she has acquired specialized technical and vocational education;

21.4.2.a temporary employee working in Mongolia for a period of up to six months.

21.5.The list of specialized workplaces in the fields of economic activity specified in Article 21.3.3 of this Law shall be approved by the Government by the 1st day of October biannually.

Article 22.Determination of the number and percentage of foreign employees

22.1.The number and percentage of foreign workers to be employed in Mongolia by the sector of economic activity shall be approved by the Government by the 1st day of October annually.

22.2.The proposals forwarded by the state central administrative body in charge of national development policy and planning and the National Employment Council, as well as the supply and demand status of the labor market shall be taken into account when determining the number and percentage specified in Article 22.1 of this Law.

22.3.The member of the Government in charge of labor matters shall present to the Government the list and number of vacancies in Mongolia occupied by foreign citizens in the given year and inform the public within the first quarter of the following year.

22.4.The central and local administrative agencies in charge of employment matters shall conclude and implement an agreement with the employer specified in Article 24.1 of this Law for training, as apprentices, and providing registered unemployed citizens with workplaces. The percentage of apprentices shall consitute at least 30 percent of the employer's foreign employees.

22.5.In the event of arising a disaster risk, when it is impossible to provide the personnel required for the elimination of disaster damages, foreign employees can be hired by the decision of the Government at the proposal of the Government member in charge of emergency issues regardless of the number and percentage limitations specified in 22.1 of this Law until the disaster damages are eliminated.

22.6.In case of a lack of labor force to be employed for the implementation of projects and programs funded by soft soft loans and grants-in-aid received through the channels of the Government, foreign employees can be hired by the decision of the Government.

Article 23.Invitations to foreign citizens for employment                           

23.1.The employer shall deliver information on job vacancies and requirements for the workplaces to the aimag (provincial) or district employment agencies and apply for hiring employees.

23.2.The aimag (provincial) and district employment agencies shall immediately place the information on job vacancies submitted by the employer in the unified employment registry and database and make it accessible to the public.

23.3.It is prohibited for the employer to set overly demanding benchmarks for the qualifications and professional skills required to perform the work when hiring an employee from a foreign country, or to unreasonably refuse to employ a Mongolian citizen who meets the workplace requirements. The implementation of this provision shall be monitored by the employment agency of the respective aimag (province) or district, the employment sub-council and the state labor inspector.

23.4.The employer shall have the right to request for an invitation to hire a foreign employee in case it fails to hire a local employee within 14 business days after placing a job advertisement in the employment registry and database and starting an active search for an employee.

23.5.The employer shall submit a request to hire an employee from in a foreign country along with with the following documents to the state administrative body in charge of employment:

23.5.1.a work plan defining the classifications, types, lists, locations and durations of workplaces requiring to employ foreign employees;

23.5.2.the state registration certificate and the permit if it is related to a work or service requiring a license;

23.5.3.a document proving the professional skills and qualification of the foreign employee /must be certified by a competent authority recognized by the concerned country/;

23.5.4.a proof evidencing the compliance with the requirements set forth in Article 23.4 of this Law;

23.5.5.the receipt of service fee payment;

23.5.6.the reference on the payment of social insurance premium;

23.5.7.others specified in the relevant legislations.

23.6.The state administrative body in charge of employment shall issue a permit to the employer to invite a foreign employee for a period of three months.

23.7.The above specified time period may be extended once for up to three months in case there is a respectful reason for concluding a labor contract with a foreign employee but failing to obtain a work permit for the foreign employee within the time period specified in Article 23.6 of this Law.

23.8.The competent authority may confirm and certify the assessment of professional skills and qualifications specified in Article 23.5.3 of this Law for the categories of workplaces specified in Article 21.4 of this Law.

23.9.The requirements set forth in Articles 23.4 and 23.5.4 of this Law shall not apply to the categories of workplaces specified in Articles 21.2, 21.3.1, 21.3.2, 21.3.3, 21.3.4 and 21.3.5 of this Law.

23.10.The state administrative body in charge of employment matters may use an electronic system for providing services related to inviting and issuing a permit to employ a foreign citizen in Mongolia. The member of the Government in charge of labor matters shall approve the procedure for providing electronic licensing services and using the electronic system.

Article 24.Issuance of a permit for employing foreign employees in Mongolia

24.1.The employer who has obtained the permit specified in Article 23.6 of this Law shall select a foreign employee and conclude an employment agreement with him/her and present it to the state administrative body in charge of employment matters along with with other relevant documents.

24.2.The state administrative body in charge of employment shall issue a work permit to a foreign employee based on the information specified in 24.1 of this Law.

24.3.The employment permit shall contain the information such as the full name and citizenship of the foreign employee selected by the employer, name of the employing legal entity, the location of workplace and the term of the permit.

24.4.The term of an employment permit shall be up to one year depending on the term of the labor contract.

24.5.The member of the Government in charge of labor matters shall approve the procedure for issuing work permits to foreign employees.

24.6.The members of the Government in charge of health and labor matters shall jointly approve the procedure for medical examination of foreign employees after their arrival in Mongolia.

Article 25.Restrictions for the invitation of foreign employees

25.1.The state administrative body in charge of employment matters shall restrict the rights of the employer to invite foreign employees for a period of two years on the following grounds:

25.1.1.the employer has employed of a foreign citizen or stateless person in Mongolia without a work permit;

25.1.2.it has been established that the remuneration of a previously employed foreign citizen has not been paid by the employer or the employer has caused a damage to the foreign citizen;

25.1.3.it has been established that the employer has not fulfilled its obligations specified in Articles 22.4, 23.3, 23.4 and 23.5.4 of this Law and has submitted misleading reports;

25.1.4.it has been established that the foreign citizen has not fulfilled his/her obligations specified in Articles 10.1.1 and 10.1.3 of the Law on Legal Status of Foreign Citizens;

25.1.5.the work permit has been revoked in accordance with Article 26.1 of this Law.

Article 26.Revocation of the permit for employing a foreign citizen by the employer

26.1.The state administrative body in charge of employment matters shall revoke the employer's permit to employ a foreign employee on the following grounds:

26.1.1.in case the competent authority has determined that the decision to grant the permit is illegal;

26.1.2.in case it has been established that a Mongolian citizen who meets the relevant professional skills and qualification requirements to perform the work has been unreasonably refused to be employed;

26.1.3.in case it has been established that the conditions of the labor contract, including the remuneration, the working conditions, and the work and rest regime agreed upon before the foreign employee entered the country have not been met;

26.1.4.in case it has been established that the employer has violated the legislations related to labor, labor safety and hygiene and is incapable to employ a foreign citizen in Mongolia;

26.1.5.in case the employer has failed to provide the foreign employee with training and medical examination, and it has been established that the employer retained the personal documents and salary of the foreign employee as a pledge;

26.1.6.in case it has been established the foreign employee has been assigned to a work for a purpose or in a location other than those specified in the employment permit, or the employer has submitted false documents to obtain the employment permit.

Article 27.Prohibition of illegal employment

27.1.It is prohibited to employ a foreign citizen without the proper permit.

27.2.The issue of returning a foreign citizen illegally working in Mongolia shall be resolved in accordance with the relevant legislations of Mongolia.

Article 28.Extension of the permit to employ a foreign citizen

28.1.The term of a foreign employee's work permit may be extended based on the employer's request, the work performance, the labor contract, the workplace classification, the grounds for further extension of employment and the fulfillment of legal obligations.

28.2.The total term of the work permit for foreign employees, except for those specified in Articles 21.2 and 21.3 of this Law, to work continuously in Mongolia shall not exceed five years.

Article 29.Transfer of a foreign employee

29.1.A foreign employee having work permit may apply for a transfer to another organization in the following cases:

29.1.1.the legal entity has been liquidated;

29.1.2.the foreign employee has performed the contractual work ahead of time;

29.1.3.the contractual work has come to a halt due to no fault of the employee;

29.1.4.the employee has received a notice to terminate the labor contract for reasons beyond the employee's control;

29.1.5.the employee is unable to continue performing the work due to the employer's breach of the labor contract.

29.2.The state administrative body in charge of employment shall issue another work permit to the foreign employee within the validity term of the initial permit.

29.3.The successor employing the foreign employee shall meet the conditions and requirements set forth in this Law.

29.4.In case it is decided that it is impossible to transfer the foreign employee to another employer, the employer shall see off the foreign employee over the borders of Mongolia within the time period specified by law and notify the state administrative body in charge of employment.

Article 30.Revocation of the permit for the employment of foreign citizens

30.1.The state administrative body in charge of employment shall revoke the work permit of a foreign employee in the following cases:

30.1.1.in case the cancellation of the labor contract due the fault of the foreign employee has been established by a decision of the competent authority or the labor contract has been terminated;

30.1.2.in case it has been established, as a result of a medical examination and/or tests, that he/she is physically unfit to perform the contractual work;

30.1.3.in case the foreign employee left his / her place of workplace arbitrarily;

30.1.4.the foreign has been transferred to another employer without the permission of the state administrative body in charge of employment matters;

30.1.5.in case the foreign employee has been registered in the database for foreign employees using forged documents;

30.1.6.in case the foreign employee has been found guilty of committing a crime or violation;

30.1.7.in case the foreign employee has lost his / her ability to work.

30.2.The state administrative body in charge of employment matters shall notify the state administrative body in charge of foreign citizens and nationality of the information on the revocation or the expiration of the work permit of the foreign employee.

Article 31.Orientation training for foreign employees

31.1.The employer shall provide foreign workers visiting Mongolia for the first time with the general information on the relevant laws and customs of Mongolia and an orientation training supplying special information required for their employment.

31.2.The employer shall be responsible for the costs of orientation training of providing foreign employees with employment guidance in Mongolia.

31.3.The state administrative body in charge of employment matters shall approve the standard training program specified in Article 31.1 of this Law and monitor its implementation.

Article 32.Payment for the workplaces of foreign employees

32.1.Unless otherwise provided by law, the payment for the workplace of a foreign employee shall be equal to an amount doubling the minimum monthly salary.

32.2."Payment for workplace" shall mean the monetary payment to be paid by an employer operating in the territory of Mongolia for the employment of a foreign employee in the amount specified in this Law.

32.3.An employer hiring foreign employees, medical doctors, scientific researchers, professional teachers and coaches working in educational, scientific, health, cultural and sports organizations specified in Articles 21.2.1, 21.2.3, 21.3.1 and 22.5 of this Law on a contractual basis shall be exempted from the payment for the workplace.

32.4.The Government may grant a discount or an exemption from the payment for the workplace in case of hiring foreign employees for the implementation of projects and programs and for the construction of strategically important infrastructure and production facilities funded by foreign soft loans and grants received through the channels of the Government.

32.5.The employer shall pay the payment for the workplace in advance proportionate the number and duration of employment of foreign employees.

32.6.The Government shall approve the procedures applicable to the payment, discount, exemption, refund of the payment differences and record- keeping with regard to the payment for the workplaces of foreign employees.

32.7.In case the license is revoked in accordance with Article 26.1 of this Law, the difference in payment for the workplace shall not be refunded.

CHAPTER FOUR

ADMINISTRATION AND DATABASE OF LABOR FORCE MIGRATION

Article 33.Database of labor force migration

33.1.The labor force migration database shall consist of information on the Mongolian and foreign employees in paper and electronic formats.

33.2.The state administrative body in charge of employment matters shall be responsible for compiling and updating the database, and the state central administrative body in charge of labor matters shall monitor the database.

33.3.The classification and code of the database shall be jointly approved by the state central administrative body in charge of labor matters and the National Statistics Office of Mongolia.

33.4.The database shall be able to exchange information with other governmental databases and a joint database shall be established and operated by the organization in charge of the governmental databases.

33.5.The Government shall establish procedures related to the composition, creation, confidentiality, use, storage, protection, and security of the database and the exchange of information between organizations.

CHAPTER FIVE

MISCELLANEOUS

Article 34.Supervision of the implementation of the legislation

34.1.The State Great Khural, the Government, the state central administrative body in charge of labor matters, the state administrative body in charge of employment matters, the governors at all levels, the aimag and district employment agencies, the Employment Council, authorized state inspectors, and the organizations and officials authorized by law shall monitor the implementation of this Law and inform each other within the scopes of their respective functions.

34.2.The state administrative body in charge of employment matters shall provide advice to employers hiring foreign employees, inspect the employment status and working conditions of foreign employees and the implementation of this Law at least once a year.

34.3.The state central administrative body in charge of labor matters shall approve the guidelines and directions for consulting and conducting joint inspections and shall take measures to eliminate violations revealed during inspections and notify the relevant organizations.

34.4.The state central administrative body in charge of labor matters shall be authorized to monitor the administrative activities of the governmental bodies of lower instances with regard to the implementation of the functions specified in this Law, and change or annul decisions on grounds provided by law.

Article 35.External control

35.1.The non-governmental organizations may conduct a public monitoring in the implementation of the legal provisions on the activities specified in Articles 6, 9, 12, 13, 15, 17, 23, 25, 26, 28, 30, 31 and 32 of this Law.

35.2 The monitoring non-governmental organization shall meet the following requirements:

35.2.1.The purposes of the charter shall include the protection of the rights and legitimate interests of employees and employers;

35.2.2.The non-governmental organization should have been operating stably, at least, for the last three years in accordance with the purposes of the charter.

35.3.The state administrative body in charge of employment matters shall register and cooperate with the non-governmental organizations requesting for the realization of external monitoring.

35.4.The non-governmental organization implementing the external control shall submit its report to the state administrative body in charge of employment matters from time to time.

Article 36.Liability for the violators of the law

36.1.In case the actions of a civil servant violating this Law have not a criminal nature, they shall be subject to liability specified in the Civil Service Law.

36.2.Any person or legal entity violating this Law shall be subject to liability specified in the Criminal Law or the Law on Violations.

36.3.The guilty party shall indemnify the damage in accordance with the Civil Code in case any damage is caused to others due to a violation of this Law.

Article 37.Entry into force of the law

37.1.This Law shall enter into force on July 1, 2022.

CHAIRMAN OF THE STATE GREAT KHURAL OF MONGOLIA ZANDANSHATAR.G