The minimum wage for the garment and footwear sectors currently stands at $204 per month, which includes an additional $2 contribution from the prime minister. Credit: Shutterstock.

The garment worker wage negotiations, which started yesterday (15 August), will involve nearly 1m workers and are said to be conducted through a tripartite process including the Ministry of Labour and Vocational Training, factory representatives, and labour unions.

Local news site The Phnom Penh Post reported that during the meeting, key social and economic indicators were presented as a foundation for the negotiations. All parties agreed to use these statistics for internal discussions before presenting their positions at subsequent meetings.

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Union representative Kim Chansamnang is said to have stated the union’s proposed figure would be based on a thorough examination to ensure a mutually acceptable outcome.

Nang Sothy, representing the employers’ side, is said to have noted that wage negotiations consider various economic and social factors, including the current inflation rate of 2.5%.  

Soth explained: “Traditionally, the unions tend to propose figures that exceed technically appropriate levels. Please stand by a reasonable figure to avoid the claim that employers are increasing by a small amount while unions demand a large increase. This will make it difficult for the ministry to decide. Therefore, stick to technically justified figures rather than arbitrary ones.”

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Currently, the minimum wage for the garment and footwear sectors stands at $204 per month, which includes an additional $2 contribution from the prime minister.

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Labour minister Heng Sour, who leads the government representation in the National Council on Minimum Wage, is reported to have expressed optimism that each party would thoroughly analyse the provided data before the next gathering. He mentioned that proposed figures from each party might be revealed during a meeting that is taking place on 29 August.

He added: “In general, I cannot speak on behalf of each party as we only provide statistics, and each party will compare and verify them for accuracy. Therefore, I refrain from commenting on the positions of each party.”

Local news publication XinhuaNET suggested the next round of talks would be held on 29 August, 6 September, 12 September, 19 September and 26 September.

When Cambodia raised its minimum wage in 2023 it was hit with mixed reviews with Chansamnang and other members of the union saying at the time they “felt okay with the results”, whilst factory worker Vich Seng Van felt the wage increase was insufficient.