In a significant development for Cambodia’s labor sector, the minimum wage for garment workers is set to see an increase to USD 208 in 2025. This decision was reached through concerted tripartite negotiations, encapsulating the government, employers, and workers’ representatives in the National Council on Minimum Wages. The meeting, which focused on setting the wage standards for workers in the textile, garment, footwear, and bag industries for 2025, concluded with an agreement to raise the monthly wage from USD 204 in 2024 to USD 206. The Cambodian Prime Minister Hun Manet, in a further show of support, added an additional USD 2 to the agreed amount, bringing the total to USD 208.
This pay raise represents a continued effort by the Cambodian government to enhance the living standards of its labor force amidst challenging global economic conditions. The labor and vocational training sector, under the leadership of Heng Sour, Minister of Labor and Vocational Training and Chairman of the National Minimum Wage Council, held a decisive vote on the matter. The council, with a strong majority of 46 out of 51 votes, initially agreed upon the USD 206 figure, before the prime minister’s intervention increased it by USD 2.
Prime Minister Hun Manet has been proactive in ensuring that the new wage standard is communicated effectively to workers and the public. He emphasized the government’s dedication to improving the livelihoods, employment opportunities, and overall well-being of Cambodian citizens, despite the modest nature of the wage increase. His statement highlighted the unique challenges posed by the global economy, noting that, unlike Cambodia, many countries in the region have opted against raising their minimum wages due to economic strains, with some even experiencing wage reductions in real terms due to currency fluctuation.
Beyond the wage hike, the prime minister committed to encouraging the exploration of additional measures aimed at reducing living costs for workers. Acknowledging the complexity and sensitivity of wage negotiations, he expressed his gratitude towards all stakeholders involved in the discussions. The workers and employers’ representatives were lauded for their professionalism and unity throughout the negotiation process, and the Ministry of Labor and Vocational Training was commended for its role in facilitating a smooth and effective dialogue.
This decision to raise the minimum wage marks a critical step towards addressing the socio-economic challenges faced by workers in Cambodia’s key industrial sectors. It illustrates the government’s understanding of the importance of maintaining a balance between economic growth and social equity. By implementing policies that support wage growth, the government aims not just to improve the immediate financial situation of its workers but also to foster a more prosperous and equitable future for all its citizens.
The wage increase is more than a financial adjustment; it represents a commitment to the well-being of the Cambodian workforce and a recognition of the vital role they play in the nation’s economic and social fabric. As Cambodia continues to navigate through the complexities of the global economy, measures such as these are invaluable in bolstering the resilience and prosperity of its people.
Source: Fresh News
