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An investigation of the effect on Portland cement-stabilized clay shale on the Atterberg limits and permeability characteristics are presented. Extensive research has shown that Portland cement has been used to improve and upgrade the problematic soil such as clay shale and found to be the most used and be successfully stabilized, but most studies in the field of Portland cement-stabilized soil have only focused on strength and durability improvement and has not fully provided information on the permeability characteristic. An objective of this study was to investigate the effect of Portland cement content on the plasticity and permeability of the clay shale. The percentage of Portland cement used ranged from 2% to 10% by weight of dry soil. A series of liquid limit, plastic limit, and permeability test were performed on the treated and untreated clay shale. A treated clay shale sample was cured for 7 days, a constant head permeability method (method A) of the ASTM D 5084 was used to identify the coefficient of permeability. The result shows that both the liquid limits and plastic limits decrease with increased Portland cement content, hence the plastisity index of the soil-PC mixing decrease. The permeability coefficient reaches the highest value at the addition of 2% PC. The permeability coefficient of soil mixed with 2% of cement increased about 14 times greater than the untreated one. The permeability of 10% PC content is closed to untreated soil.