View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
August 26, 2022updated 22 Sep 2022 12:18pm

Cambodia wage talks stalemate: Round two set for 31 August

The second round of negotiations regarding a wage review for Cambodian workers is to take place on 31 August after an agreement could not be reached earlier this week.

By Hannah Abdulla

Cambodia’s trade unions are seeking a minimum wage of US$215 while employers are suggesting it remains at $194.

The government raised the minimum wage to $194 per month earlier this year, from $192, raising concerns within the industry as Covid-19 delivered a turbulent year for the key apparel sourcing hub.

A report published by The Phnom Post, citing a statement from the Ministry of Labour and Vocational Training, claims the parties had presented their initial positions to each other clearly and professionally.

Based on the debates during the meeting, Ath Thorn, president of the Cambodian Labour Confederation, said he expected the wage is likely to increase, estimating it could reach around $197 and a top-up from Prime Minister Hun Sen could see it rise to around $200 per month.

Citing comments from Kaing Monika, deputy secretary-general of the Garment Manufacturers Association in Cambodia (GMAC), the Post said the body is concerned about the export situation for the second half of the year given the unstable global situation and the possibility of an economic downturn, mostly in the West, which is Cambodia’s main garment export market.

The situation, Monika added, according to the report, “is unfavourable” to both parties and while factory owners want to support worker livelihoods they must also remain competitive.

GMAC could not be reached for comment at the time of going to press.

Related Companies

Topics in this article:
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The industry's most comprehensive news and information delivered every quarter.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Style