Cambodia anticipating controversial wage discussions

Stakeholders in Cambodia’s garment production sector will meet next month to begin what is expected to be contentious discussions over a minimum wage for workers.

Union representatives, employers and government officials will meet and thrash out an agreement before a revised figure is revealed in September.

It is anticipated from all sides which discussions will establish hard as Cambodia was amongst the hardest hit textile businesses by the coronavirus pandemic.

Minister of Labour and Vocational Training Sam Heng confirmed that the 3 parties will start the negotiations from next month since it seems to iron out the terms of a new minimum wage for garment workers in the nation.

For this, research on social features — such as workers’ family scenarios, their daily expenses, factoring in inflation rates — are assessed against the state of their economy, it has productivity, competitiveness and potential for recovery post-pandemic.

“We all know that the previous negotiations, though there were no serious troubles, there were several assertions from employers which caused a stir. The negotiations this season will be more stressed than in other decades,” says Heng.

The minimum wage at present equates to about US$190 per month, figure unions will vie to increase. The probability of this occurring, however, will have taken a hit because of the consequences of the worldwide health crisis that has scuppered apparel requirements and abandoned many workers facing fiscal uncertainty.

It’s a similar situation in Myanmar, another southeast Asian nation hit hard by COVID-19. The country’s governments are also put to resume the negotiations they’d started at the start of the year until they were forced into a standstill. With distancing mechanics set to be relaxed, parties can reconvene once more benefit using a revised national minimum wage.